Gold prices are on track for a weekly gain, despite hovering above
February gold futures rose $0.90, or 0.07%, to $1,258.00 per ounce at 14:11 GMT on Friday. Gold prices are poised to record a tepid 0.8% weekly gain, but they are trading just above their lowest levels since July.
Silver, the sister commodity to gold, is rallying to end the trading week. March silver futures jumped $0.12, or 0.76%, to $16.05 an ounce. The white metal is also getting ready to report a modest weekly increase of 0.2%.
The GOP may have won a key vote in the Senate with its Tax Cut and Jobs Act, but after it was returned to Congress, four more Republican senators have insisted on some changes. Florida Senator Marco Rubio and Utah Senator Mike Lee want to expand the proposed child tax credit. Tennessee Bob Corker is opposed to the tax plan, while Maine Senator Susan Collins is undecided. President Donald Trump has confirmed that he is open to expanding the child tax credits.
Worries over the tax bill sent the US dollar lower as the greenback slipped 0.01%. A weaker US dollar is good for commodities like gold and silver because it makes it cheaper for foreign investors to buy.
On Wednesday, the Federal Reserve raised interest rates for the fourth time in the last 12 months. Gold is generally sensitive to a
Experts note that gold is repositioning itself following the US central bank’s monetary policy move. Analysts are expecting spot gold to test a resistance at $1,262, which would lift the next resistance at $1,276.
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