Gold stabilizes as dollar loses ground
Gold prices stabilized positively on Tuesday as the dollar slipped against a basket of major rivals, while markets analyse a batch of statements from Fed officials.
Fed Cleveland President Loretta Mister said she could support a decision to slow down the pace of rate hikes in December.
It comes after the Fed raised interest rates for the fourth time in a row by 75 basis points in November.
The dollar index fell 0.5% to 107.2 as of 18:14 GMT, with a session-high at 107.7, and a low at 107.2.
Gold futures rose 0.1% to $1,740 an ounce as of 18:14 GMT.
Wall Street climbs on Fed statements
US stock indices rose on Tuesday as markets analyse a batch of statements from Fed officials.
Fed Cleveland President Loretta Mister said she could support a decision to slow down the pace of rate hikes in December.
It comes after the Fed raised interest rates for the fourth time in a row by 75 basis points in November.
Dow Jones rose 0.8%, or 264 points to 33,959 as of 15:41 GMT, while S&P 500 rose 0.6%, or 24 points to 3,974, as NASDAQ rose 0.2%, or 26 points to 11,051.
Palladium climbs but still hangs below $1,900
Palladium prices rose on Tuesday as the dollar fell against most major rivals, but the gains were not enough to push prices past $1,900.
Chinese health authorities reimposed restrictions on movements as Covid 19 infections surge once more, hurting demand on commodities.
Also the government reported the first two cases of Covid 19 deaths in six months, which means the road is still long before the policies work.
China is the world's largest consumer and importer of palladium and many other industrial metals, and prices are thus impacted by Chinese developments.
The dollar index fell 0.4% to 107.3 as of 15:22 GMT, with a session-high at 107.7, and a low at 107.2.
Palladium futures due in December rose 1% as of 15:23 GMT to $1,872 an ounce.
Oil prices rebound strongly from 10-month lows as OPEC+ rules out production increases
Oil prices rose in European trade away from 10-month lows while on track for the first profit in the last five days as OPEC+ refuted reports of an increase of 500 thousand bpd in output.
Prices were also buoyed by a weaker dollar against a basket of major rivals, while traders expect later US data to show a drawdown in US crude stocks.
Global Oil Prices
US crude rose 1.8% to $81.71 a barrel, while Brent rose 1.75% to $89.16 a barrel, with a session-low at $87.40.
US crude lost 0.1% on Monday, hitting ten-month lows at $75.30, while Brent fell 0.25% to $82.38 a barrel, the lowest since January.
OPEC + Output
The Wall Street Journal released a report that OPEC + might increase output by 500 thousand bpd.
Saudi Arabia ruled out such an increase and asserted the current 2 million bpd cut in production will continue until the end of 2023.
The Dollar
The dollar index fell 0.4% on Tuesday away from two-week highs at 107.99, and on track for the first loss in four days on active profit-taking.
A weaker dollar underpins commodity and mineral prices as they become cheaper to holders of other currencies.