The ounce of yellow metal lost 50 dollars over the week, touching Friday a low since the end of July at 1,749.85 dollars.
The price of gold tumbled over the week, weighed down by the strength of the dollar and the prospect of tighter monetary policy in the United States.
The ounce of gold lost 50 dollars over the week, touching Friday a low since the end of July at 1,749.85 dollars.
“It’s been a tough week for gold” which has been “stifled by the appreciation of the dollar”, summarizes Lukman Otunuga, analyst at FXTM.
As the week progressed, several leaders of the US Federal Reserve (Fed) insisted that tight monetary policy would continue in the United States.
This makes the dollar and US bonds more attractive, which automatically makes gold less attractive: the yellow metal is a safe haven, but unlike bonds, it pays no return.
Moreover, the rise of the dollar weighs on the purchasing power of investors using other currencies.
Around 3:40 p.m. GMT (5:40 p.m. in Paris), an ounce of gold traded at 1,745.79 dollars, once morest 1,802.40 dollars seven days earlier at the end of trading.
Aluminum affected by China
The price of metals traded on the London Stock Exchange (LME) lost ground on Monday following disappointing Chinese indicators, before stabilizing over the week.
“It’s a typical month of August, without conviction” on the side of sellers as buyers, underlines Al Munro, broker for Marex.
Even the sell-off triggered by China’s economic slowdown didn’t last.
However, “the shadow of China on the commodity market remains important,” commented analysts at ANZ.
The second Chinese economy is also the first importer of many metals that its industry devours.
The contraction in new housing prices and the deceleration in the growth of both retail sales and industrial production weighed on the price of metals.
But there are still “pockets of growth”, argue ANZ analysts, who report in particular on the rise in car sales, an industry that is particularly heavy on aluminum.
To meet this demand, “Chinese aluminum production soared to a new record high in July,” notes Thu Lan Nguyen, an analyst at Commerzbank.
But the rise in electricity prices might weigh on aluminum smelters, which might see their activity limited in China but also in Europe, and ultimately drive up prices.
A tonne of aluminum for delivery in three months cost 2,403 dollars around 3:40 p.m. GMT (5:40 p.m. in Paris) on the LME, once morest 2,434.50 dollars seven days earlier at the end of trading.
Cocoa hesitates
Cocoa prices changed little over the week, the market being torn between demand that remains robust and negative signals on global growth.
“A supply deficit is still expected for the 2021-2022 season, but this is not enough to offset the macroeconomic parameters which will have a negative effect on demand”, explains the International Cocoa Organization in its report. monthly.
In the absence of new strong information, “the market lacks direction”, also notes Daria Efanova, analyst at Sucden.
In London, a ton of cocoa for delivery in December was worth 1,759 pounds sterling around 3:40 p.m. GMT (5:50 p.m. in Paris), once morest 1,747 pounds sterling last Friday at the end of the session.
In New York, a ton for delivery in December sold for 2,359 dollars, once morest 2,360 dollars last Friday.