BULLION:-
Gold inched lower on Monday as the dollar recovered slightly, but losses were curbed by short-covering after the metal gained nearly 2 percent in the last session amid market perception of a dovish stance on interest rates by the U.S. Federal Reserve. Spot gold XAU= was down 0.2 percent at $1,203.67 per ounce at 0741 GMT. It had climbed 1.7 percent on Friday in its biggest one-day percentage gain since May 2017. U.S. gold futures GCcv1 were down 0.2 percent at $1,210.60 an ounce. "Gold faces headwinds from the fact that the dollar rally, old though it may be, is still alive, although facing threats from domestic political uncertainty," said Nicholas Rappel, general manager at Australia-based ABC Bullion. The dollar index .DXY , which tracks the greenback against a basket of six major currencies, was up 0.1 percent. It had fallen nearly 1 percent in the previous session weighed down by comments from Fed Chair Jerome Powell, who signaled a gradual approach to interest rate hikes. Speaking at a research symposium at Jackson Hole, Wyoming on Friday, Powell made the case that gradual rate hikes were the best way to protect U.S. economic recovery, keep job growth strong and inflation under control. the speech was a tad dovish, gold's resurgence may be as much position-related as it is a real demand, given the extended short gold positions that have been built up over the past few weeks which resulted in several stop losses runs getting triggered," said Stephen Innes, APAC trading head, OANDA.
ENERGY:-
Oil prices fell on Monday on concerns the U.S.-China trade dispute will erode global economic growth, and ahead of a conference call between members of a committee monitoring an OPEC and non-OPEC deal on output cuts. International Brent crude oil futures LCOc1 were at $75.49 per barrel at 0956 GMT, down 33 cents from their last close. U.S. West Texas Intermediate (WTI) crude CLc1 were
down 32 cents at $68.40 a barrel. Trading activity was limited due to a public holiday in Britain, traders said. "Falling U.S. rig counts and last week's decline in U.S. inventories are supporting oil prices
amid a protracted U.S.-China trade war that could dampen global growth and weigh on oil demand," said Stephen Innes, head of trading for Asia-Pacific at futures brokerage OANDA in Singapore. U.S. energy companies cut nine oil drilling rigs last week, taking the total to 860, the biggest reduction since May 2016, energy services firm Baker Hughes said on Friday. of an OPEC and non-OPEC mini-
sterial monitoring committee will hold a conference call later on Monday to discuss progress on their production curbs agreement. The Organization of the Petroleum Exporting Countries and other producers led by Russia agreed in June to return to 100 percent compliance with oil output cuts that began in January 2017.
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