Fed says stimulus wind down to begin ‘relatively soon,’ leaves rates unchanged

The Federal Reserve laid the groundwork Wednesday to begin winding down shortly the massive stimulus program it embarked on to rescue the economy from the financial crisis. As expected, the Fed also unanimously declined to raise interest rates this month. After its two-day policy meeting, the Federal Open Market Committee released a statement containing key language that points to starting the move in September. At that time, the central bank will begin rolling off the $4.5 trillion portfolio...
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Oil Climbs as U.S. Supplies Shrink to Lowest Since Start of Year

Oil surged to an eight-week high after the government said U.S. stockpiles shrank to levels last seen at the start of the year. Futures rose 1.8 percent in New York. Crude inventories declined by 7.21 million barrels last week to the lowest since Jan. 6, according to data from the Energy Information Administration Wednesday. Gasoline stockpiles fell for a sixth week to the lowest level since December, the data showed. “The primary driver behind the rally is that you’ve got more inventory d...
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Saudi Arabia Turns Off the U.S. Oil Tap

At last, Saudi Arabia seems to be doing what it takes to reduce the world's most visible oil glut: the one in the U.S. Unfortunately, its renewed vigor comes as OPEC's deal to reduce excess crude stockpiles starts to show signs of unraveling elsewhere, a subject that will be wrestled with by the group's oil ministers as they and other producer nations meet in St Petersburg on Monday. Saudi Slump Weekly U.S. crude oil imports from Saudi Arabia have fallen sharply since early June So...
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His Gold Calls Have Been Quite Accurate; Now He’s Calling The Bottom

(Kitco News) - It seems the best way for investors to make money in the gold market lately is by being on the bearish side, but according to one analyst with a strong track-record, this trend could change. “Gold dropped 5 weeks in a row after my May 29th bearish call. All indicators tell me that a trend reversal is imminent,” noted Lejun James Shao, founder of www.myIRAs.net, in a Seeking Alpha post Wednesday. So far this year, Shao’s gold calls have been “quite accurate,” as he put it. ...
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Dollar posts biggest quarterly drop in nearly seven years

By Sam Forgione NEW YORK (Reuters) - The U.S. dollar recovered slightly on Friday, but posted its biggest quarterly decline against a basket of rival currencies in nearly seven years after hawkish signals from foreign central banks this week pressured the greenback further. Investors have ramped-up expectations for tighter monetary policy from the European Central Bank, Bank of England and Bank of Canada after hints from officials this week. This has made the greenback less attractive, in a...
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Gold Rebounds As U.S. Dollar Sells Off

(Kitco News) - Gold prices are moderately higher in early U.S. trading Tuesday, supported by a sharp daily drop in the U.S. dollar index. Short covering in the futures market and perceived bargain buying in the cash market are also featured after prices Monday hit a five-week low. August Comex gold was last up $4.60 an ounce at $1,251.00. September Comex silver was last down $0.079 at $16.71 an ounce. Focus of the marketplace today is on speeches by major central bankers. European Central Ban...
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Gold Slightly Down Ahead Of Big U.S. Data Week

(Kitco News) - Gold prices are slightly weaker in early U.S. trading Monday. A lack of new, bullish fundamental developments on the geopolitical front have somewhat limited buying interest in the safe-haven metal, and have allowed some profit taking from the shorter-term futures traders to occur. August Comex gold was last down $1.20 an ounce at $1,270.20. July Comex silver was last down $0.143 at $17.075 an ounce. Focus is on this week’s FOMC meeting that begins on Tuesday morning and ends W...
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Gold Sees Modest Pullback On Profit Taking, Firmer U.S. Dollar

Gold prices were ending the U.S. day session weaker Thursday, on a corrective pullback from recent gains that saw prices Wednesday hit a nearly three-month high. Some profit taking from the shorter-term futures traders was featured. Also, a higher U.S. dollar index on this day worked against the precious metals markets bulls. April Comex gold was last down $5.40 an ounce at $1,234.10. March Comex silver was last down $0.01 at $17.70 an ounce. It’s been a quieter week for world economic data r...
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Dollar down as U.S. Treasury yields fall

A two Euro coin is seen in this picture illustration taken in Rome, Italy February 3, 2017. Picture taken February 3, 2017. REUTERS/Tony Gentile By Gertrude Chavez-Dreyfuss | NEW YORK The dollar fell on Wednesday after two days of gains, pressured by the decline in U.S. Treasury yields as investors have priced out a March rate hike by the Federal Reserve amid uncertainty about President Donald Trump's economic policies. Joe Manimbo, senior market analyst at Western Union Business ...
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Stronger US Dollar Could Be a Concern for Oil Longs

By Robert Scott Crude oil and the US Dollar Index US crude oil (USO) (USL) (OIIL) (SCO) futures contracts for February delivery fell ~2.9% between December 27, 2016, and January 3, 2017. The US dollar (UUP) (USDU) rose ~0.2% during that period. In the past four trading sessions, crude oil and the US Dollar Index moved in opposite directions in one instance. However, the correlation between crude oil and the US dollar in the past four trading sessions was about -69.3%. It shows t...
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