Gold Price hits up to $1,248.80 (+14.70) per ounce, Silver Price $18.27 (+0.22), Dow Jones index 20,814.20 (0.19% raise).

U.S. Dollar vs Precious metals

The US Dollar retains a positive bias but has given back some of its gains after two noted data releases came in below expectation. The dollar is higher ahead after the FOMC release on Wednesday. Currently, market investors suggest Dollar could be able to maintain its recent good form.

Gold prices on Thursday hit a three-month high after Federal Reserve policy meeting. The dampened expectations of an interest rate hike in March, lowering U.S. bond yields and stalling upward momentum in the dollar will influence the market in the following months.

As the weekly chart shows, silver has moved higher over the past eight straight weeks and it has posted a new short-term high in seven out of eight weeks.

However, precious metals still face some challenges, growing optimism over the global economy continues to support equity markets.

Stock Market Today

The most exceptional news of this week came from the latest FOMC meeting. U.S. stocks rose to fresh record highs on Thursday,  thanks to upbeat earnings reports from Wal-Mart and Home Depot. On Wednesday night, the Dow Industrial Average hit a new all-time closing high, marking a ninth straight session of record closes. The last time it registered a record-setting stretch of the same length was in 1987.

Market analytics want to see whether it includes more clues on the scope for a rate hike in March. More details on promised government spending, infrastructure investment or tax cuts would likely push the dollar and U.S. asset prices higher and gold lower.

 

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