Dollar firm before Fed's Dudley, euro and pound hold steady
- Author: Zachary Reyes Jun 20, 2017,
Jun 20, 2017, 2:39
Hedge funds and money managers raised their net long position in COMEX gold for the third straight week to the highest in seven months in the week to June 6, and upped it slightly in silver, U.S. Commodity Futures Trading Commission data showed on Friday.
The tech sector, up 1.7 percent, pushed equity indexes on Wall Street higher, with the Dow and S&P 500 closing at records.
Retailers in Europe, closed up 0.8 percent, and in the US, gained 0.9 percent, recouping some losses that were triggered on Friday by news of Amazon's $13.7 billion deal to buy upscale grocer Whole Foods Market.
Investors are focusing on the United Kingdom government's stance in the talks, after the ruling Conservative party's setback in this month's election deepened uncertainty over both Prime Minister Theresa May's Brexit plans and her political future.
Davis's agreement to Monday's agenda led some European Union officials to believe that May's government may at last be coming around to Brussels' view of how negotiations should be run for Britain's exit from the EU.
PLATTSBURG, NY, June 19 US inflation is a bit low but should rise alongside wages as the labor market continues to improve, allowing the Federal Reserve to continue gradually tightening USA monetary policy, New York Fed President William Dudley said on Monday. "Inflation is a little lower than what we would like, but we think that if the labor market continues to tighten, wages will gradually pick up, and with that inflation will gradually get back to 2 percent", Dudley told a local business group in Plattsburg, New York. It declined to 64.82 euro cents from 65.01 cents yesterday following French President Emmanuel Macron's parliamentary victory over the weekend and decreased to 56.74 British pence from 56.96 pence yesterday.
The dollar index .DXY , which tracks the greenback against a basket of six global peers, was unchanged at 97.167, failing to make up any of Friday's 0.3 percent loss.
The common currency was steady at $1.11965, retaining Friday's 0.5 percent gain.
The greenback fared better against the Japanese yen, which remained weak after the Bank of Japan left its ultra-loose monetary policy unchanged last week.
There is no major economic report due out Monday.
The dollar added 0.1 percent to 111.01 yen, after touching a two-week high on Friday.
"The potential hikes, including their speed and magnitude, have limited gold's upside risk in our view, and expectations being scaled back bode well for prices later in the year."Elsewhere, palladium XPD= was down 0.3 percent at $858.49 an ounce". Brent settled 1 percent lower at $46.91.