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Gold steady as US GDP slows and Fed meeting ends

Published: 15:56 29 Apr 2015 BST

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Gold was steady with all eyes on the outcome of the Federal Reserve meeting today.

Participants on the gold market will be watching this evening’s press conference with special interest after a much worse than expected read for US GDP growth.

First quarter figures showed the US economy grew by just 0.2% in the three months to March, sending the dollar siding against the euro.

The gold price had been at three week highs following a two-day slide in the dollar on concerns that the US economy is weaker than thought.

Consensus expectations of when US interest rates might rise had been pushed back to September after a run of mixed economic data, with the latest numbers likely to add to the fears.  

Broker Marex Spectron said: “The fact that most market watchers are pushing back their expectations of a rate rise to later in the year or possibly next year has meant a sell-off in the dollar and the opposite for precious metals.”

Gold was trading very flat, just US$1 lower to US$1,211. Silver lost US$0.1 to US$16.54 while platinum gained US$4 to US$1,161.

 

Major Movers

Randgold Resources up 30p to 5,065p.

Fresnillo up 8p to 751p.

Anglo American flat at 1,129p.

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