COMEX GOLD SIGNAL
INTERNATIONAL COMEX NEWS
- After spending the majority of the day in a tight range near the $1230 handle, the XAU/USD pair lost its traction and slumped to a fresh daily low of $1228 in the last hour. As of writing, the pair was trading at $1228.70, losing 0.35%, $4.30, on a daily basis. The US Dollar Index, which suffered heavy losses in the second half of the previous week, started the day on a positive note and rose above the 96.50 mark ahead of the non-manufacturing PMI reports that the ISM and the IHS Markit will be releasing later in the session.
- The United States reintroduced sanctions against Iranian oil on Monday while giving some of Washington’s closest allies exemptions that allow Tehran’s biggest customers, mostly in Asia, to keep buying crude for now. Washington has restored measures lifted under a 2015 nuclear deal negotiated with Tehran by the administration of President Barack Obama.
- Gold prices slipped while the dollar was unchanged on Monday as traders awaited the U.S. mid-term elections and the Federal Reserve’s November meeting due later this week. Gold futures for December delivery on the Comex division of the New York Mercantile Exchange slipped 0.03% to $1,232.9 a troy ounce by 12:20 AM ET (04:20 GMT). The U.S. Fed will begin its two-day meeting on Wednesday, with markets anticipating no change to interest rates ahead of a widely expected rate hike in December.
- A dozen euro zone banks holding about 40 percent of the sector’s assets need to strengthen their capital positions, European Central Bank Vice President Luis de Guindos said on Monday, reflecting on the results of a stress test exercise. The ECB earlier said that it would consider a 5.5 percent common equity tier 1 capital (CET1) level as acceptable in the test but comments from de Guindos suggest that the ECB may be looking a higher level.
- The United States announced a new raft of sanctions on Iran on Monday and threatened further action to pressure its old adversary, steps the Islamic Republic condemned as “economic war” and vowed to defy. The move is part of a wider effort by U.S. President Donald Trump to curb Tehran’s missile and nuclear programs and diminish the Islamic Republic’s influence in the Middle East.
- The European Central Bank has withdrawn the banking license of Malta’s Pilatus Bank, the island’s financial regulator said on Monday, after the chairman of the bank was charged in the United States over money laundering and bank fraud. The lender was also accused of processing corrupt payments for senior Azeri and Maltese figures by investigative journalist Daphne Caruana Galizia. She was killed a year ago by a car bomb in Malta.