Report
EUR 8.82 For Business Accounts Only

Gold jumps 1% as Fed’s Powell says smaller rate hikes on the way, (AKD Commodities vantage, Dec 01 2022)

GOLD: Gold prices rose over 1% on Wednesday as the non-yielding asset races to end its best month since mid-2020 on slower U.S. rate hike expectations, further reinforced by Federal Reserve Chair Jerome Powell’s comments. The Fed could scale back the pace of its interest rate hikes “as soon as December,” Powell said on Wednesday, while warning the fight against inflation was far from over. Spot gold rose 1% to $1,767.52 per ounce by 3:03 p.m. ET (2003 GMT). U.S. gold futures settled 0.2% lower at $1,759.9. In other metals, spot silver jumped 4.2% to $22.14 per ounce, on course for its best monthly gain since December 2020. Platinum gained 3.5% to $1,037.01, en route to its biggest monthly gain since November 2020. Palladium was up 3% at $1,889.25 after jumping to $1,933.04 earlier. It was up about 2.6% for the month.

OIL: Oil prices nosed ahead in early Asian trade on Thursday, lifted by signs of tighter supply and by optimism over a Chinese demand recovery. Brent crude futures rose 5 cents, or 0.06%, to $87.02 per barrel by 0115 GMT while U.S. West Texas Intermediate crude futures rose 16 cents, or 0.2%, to $80.71. U.S. crude oil stocks plunged by nearly 13 million barrels, the most since 2019, in the week ended Nov. 25, according to the Energy Information Administration. However, U.S. crude oil output surpassed 12 million barrels a day, the highest since before the onset of the coronavirus pandemic, the EIA said.

US-EQUITIES: Stock futures were little changed in early Thursday trading. Futures tied to the Dow Jones Industrial Average dropped 27 points, or 0.11%, while those tied to the S&P 500 were flat and Nasdaq 100 futures slipped 0.08%. Salesforce’s stock shed 6% in extended trading on news that co-CEO Bret Taylor is stepping down. Snowflake shares tumbled about 5% on light product revenue guidance. 

U.S DOLLAR: The dollar index has fallen from a 20-year high of 114.78 on Sept. 28 as investors look toward the U.S. central bank reaching a peak rate early next year with inflation pressures expected to subside and growing concerns about an economic downturn. A Fed report on Wednesday, meanwhile, showed that U.S. economic activity was about flat or up only slightly from mid October through late November and there were mixed signals on the persistence of inflation and labor shortages.

Provider
AKD Securities Limited
AKD Securities Limited

AKD Securities Ltd. is one of the leading securities firm in Pakistan, providing a comprehensive range of investor focused services, including equity brokerage, economic and securities research, investment banking and financial advisory services. AKD Securities accounts for more than 6% of the average daily value of the Karachi Stock Exchange. AKD Securities was the first brokerage house to launch an online trading platform in Pakistan in November 2002 and now has the largest market share with over 6000 customers. This has helped diversify and expand the retail investor base in the country and ushered in a whole new universe of investors to the stock market.

AKD Securities Ltd. caters to a diversified group of domestic and international institutional investors, high net worth individuals and upscale retail clients, including expatriate Pakistanis. With high quality research, unparalleled execution and distribution capability for both regular and large block trades, AKD Securities Ltd. has earned an outstanding reputation in the Pakistani securities industry.Outside of commercial banks, AKD Securities Ltd. is one of the biggest capital market firms in the country. AKD Securities is the leader in raising and providing risk capital in underwriting, market making and mergers and acquisitions in Pakistan. Good corporate governance and professionalism are emphasized throughout the firm and AKD Securities Ltd. is amongst the very few companies to have introduced a firm-wide comprehensive CODE of ETHICS, overseen by an independent compliance manager.Ultimately, our success is based on the quality of service we provide to our customers and the trust and confidence reposed in us by them. Our focus, therefore, remains on customer satisfaction at all levels in the company.

Analysts
Kamal Ahmed

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