Gold Holds Around One Week High, Asian Equities Supported After China Rate Cut

20 May 2022 , 12:33 PM

COMEX Gold futures approached one week high, tracking a corrective action in US dollar in last session and good bargain buying after the metal fell to a three month low. The yellow metal trades at $1846 per ounce right now, up 0.30% on the day with the gains capped somewhat today due to soaring equities. Global sentiment received a boost from a move by Chinese banks to lower a key interest rate for long-term loans by a record amount. The five-year loan prime rate, a reference for home mortgages, was lowered to 4.45% from 4.6%, according to a statement by the Peoples Bank of China Friday. That was the largest reduction since a revamp of the rate in 2019. Powered by Commodity Insights