Gold Up, WHO Warns Against Considering Omicron “Mild” By

© Reuters.

By Gina Lee – Gold was up on Friday morning in Asia but remained close to a two-week low hit during the previous session. A warning from the World Health Organization (WHO) that the omicron COVID-19 variant cannot be considered “mild”, alongside stronger yields, gave the safe-haven asset a boost.

inched up 0.06% to $1,790.25 by 9:20 PM ET (2:20 AM GMT), but the yellow metal was set for its worst weekly fall since late November 2021. Benchmark rose to their strongest level since March 2021.

Although omicron appears to produce less severe disease than the delta strain of the virus, it should not be categorized as “mild”, according to WHO director-general Tedros Adhanom Ghebreyesus.

Even the most dovish of U.S. Federal Reserve officials are on board with the central bank’s hawkish policy. San Francisco Fed President Mary Daly said at an event on Thursday that trimming the Fed balance sheet would come after normalizing the Fed funds rate. St. Louis Fed President James Bullard said at a separate event that the Fed could raise its target interest rate as soon as March 2022.

According to the CME FedWatch tool, investors are currently anticipating a greater than 70% chance for a rate hike of at least 25 basis points at the March Fed meeting.

On the data front, investors now await the U.S. jobs report, including , due later in the day. Thursday’s data showed that the number rose to 207,000 for the previous week.

In Asia Pacific, data released earlier in the day showed that Japan’s household spending contracted 1.3% and 1.2% and in November. The grew 0.5% year-on-year in December.

In other precious metals, silver was flat at $22.16 an ounce, while platinum edged up 0.2% and palladium inched up 0.1%.

Disclaimer: Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. All CFDs (stocks, indexes, futures) and Forex prices are not provided by exchanges but rather by market makers, and so prices may not be accurate and may differ from the actual market price, meaning prices are indicative and not appropriate for trading purposes. Therefore Fusion Media doesn`t bear any responsibility for any trading losses you might incur as a result of using this data.

Fusion Media or anyone involved with Fusion Media will not accept any liability for loss or damage as a result of reliance on the information including data, quotes, charts and buy/sell signals contained within this website. Please be fully informed regarding the risks and costs associated with trading the financial markets, it is one of the riskiest investment forms possible.

Source link