KUALA LUMPUR – The gold futures contract on Bursa Malaysia Derivatives settled untraded today.
Phillip Futures Sdn Bhd dealer Muhammad Fawwaz Zakaria said contrary to local trade, the US Commodity Exchange’s (Comex) gold futures market traded higher than the previous closing price.
“Gold edged higher on Tuesday as the dollar eased off highs ahead of US Treasury Secretary nominee Janet Yellen’s speech later in the day, where she is expected to raise the case for more fiscal spending,” he said.
Meanwhile, Axi chief global market strategist Stephen Innes said gold price is expected to be choppy this week while the market keeps an eye on how key drivers develop, namely treasury secretary nominee Janet Yellen’s testimony, and US president-elect Joe Biden’s inauguration.
“It’s also worth keeping an eye on US real yields and inflation expectations. Concerns about the economy persist despite ongoing vaccinations and the recent slide for cryptocurrencies may encourage a return to gold. If speculators continue to sell the yellow metal, Chinese investors and jewellers will likely take the opportunity to bargain-hunt ahead of the February Chinese New Year holiday,” he added.
At the close, gold futures on Bursa Malaysia for contract month January 2021 stood at RM237.0 a gramme while February 2021, March 2021 and April 2021 stood at RM235.0, respectively.
Volume was nil, while open interest stood at 15 contracts.
At 5pm today, the price of physical gold was up RM1.37 to RM232.15 per gramme from RM230.78 per gramme yesterday. – Bernama, January 19, 2021
