The U.S. Comex gold futures has declined 1.21% this week to $1,143.90 and has fallen 2.38% month-to-date. This week, the S&P 500 Index has risen 2.31% and the Euro Stoxx 50 Index has surged 4.21% while the crude oil futures have declined 3.47%.
The U.S. Comex gold futures jumped 2.14% to $1,202 on Thursday, climbing the most since May 13 thanks to the more tempered outlook from the Fed’s Chair. The S&P 500 Index rose 1.21% while the Euro Stoxx 50 Index was flat in the past two days.
After jumping 2.17% on Monday, the biggest percentage increase since mid-December last year, the U.S. Comex gold futures declined 0.92% to $1,337.90 on Tuesday as any immediate threat for Russia to invade Ukraine has dissipated while the U.S. prepares to give a loan guarantee of one billion dollars to Ukraine.
Despite the better than expected U.S. weekly jobless claims at 334,000, the gold price still ended higher on Thursday. As the path of the QE remains uncertain, volatility in the equities, dollar, bonds, and commodities prices will continue.
The stronger dollar, rising U.S. bond yield, weaker-than-expected China May flash manufacturing PMI, general commodities sell-off, a subdue inflation rate, and the continued outflow from gold-backed ETPs have pushed down gold's sentiment further.