GOLD FUTURES EXPECTED TO TRADE HIGHER NEXT WEEK

By Abdul Hamid A Rahman

KUALA LUMPUR, June 29 (Bernama) -- The gold futures contract on Bursa Malaysia Derivatives is likely to trade higher next week, supported by softer Personal Consumption Expenditures (PCE) data in the United States.

UOB Kay Hian Wealth Advisors head of investment research Mohd Sedek Jantan said that due to the softer PCE data, gold futures are anticipated to remain bullish, trading within the US$2,320 to US$2,350 range.

“The soft PCE data increases uncertainty but will boost safe-haven demand for gold, further supporting gold futures prices,” he told Bernama.

On a Friday-to-Friday basis, the June 2024 contract fell to US$2,327.60 per troy ounce from US$2,367.30 per troy ounce last week, and July 2024 dropped to US$2,335.70 per troy ounce from US$2,374.10 per troy ounce previously. 

The August 2024, September 2024, October 2024, and December 2024 contracts all settled lower at US$2,351.70 per troy ounce from US$2,390.10 per troy ounce last Friday.

The volume of gold futures in the local market rose to 84 lots from 64 lots in the previous week, while open interest declined to 36 contracts against 40 contracts a week earlier.

The price of physical gold stood at US$2,323.60 per troy ounce, according to the London Bullion Market Association’s afternoon fix on June 27.

-- BERNAMA