WASHINGTON (dpa-AFX) - A rally in gold prices fizzled out Wednesday, as the dollar continued its assault on other major currencies.
Eurozone inflation turned negative for the first time in more than five years in December, driven by a steep fall in energy prices.
Deflation adds more pressure on the European Central Bank to deliver huge quantitative easing later this month.
The buck surged to its highest in nine years versus the euro, nearing $1.18 amid expectations of ECB action and concerns that Greece may exit the euro zone.
Gold generally weakens as the dollar skyrockets, but the two assets are both finding buyers among traders looking for safe havens.
U.S. gold for February is down 4 dollars at $1,213, having jumped above $1,220 for the first time in nearly four weeks.
On the economic front, ADP is set to release its private payrolls report for December at 8:15 am ET. Economists expect the private payrolls to have expanded by 235,000 in the month compared to the 208,000 jobs added by the sector in November.
The Commerce Department is scheduled to release its trade balance report for November at 8:30 am ET. The consensus estimate calls for a narrowing of the trade deficit to $41.5 billion from $43.4 billion in October.
The Federal Reserve Open Market Committee is due to release the minutes of its December 16-17 monetary policy committee meeting at 2 pm ET.The rally in gold prices fizzled out Wednesday, as the dollar continued its assault on other major currencies.
Eurozone inflation turned negative for the first time in more than five years in December, driven by a steep fall in energy prices.
Deflation adds more pressure on the European Central Bank to deliver huge quantitative easing later this month.
The buck surged to its highest in nine years versus the euro, nearing $1.18 amid expectations of ECB action and concerns that Greece may exit the euro zone.
Gold generally weakens as the dollar skyrockets, but the two assets are both finding buyers among traders looking for safe havens.
U.S. gold for February is down 4 dollars at $1,213, having jumped above $1,220 for the first time in nearly four weeks.
On the economic front, ADP is set to release its private payrolls report for December at 8:15 am ET. Economists expect the private payrolls to have expanded by 235,000 in the month compared to the 208,000 jobs added by the sector in November.
The Commerce Department is scheduled to release its trade balance report for November at 8:30 am ET. The consensus estimate calls for a narrowing of the trade deficit to $41.5 billion from $43.4 billion in October.
The Federal Reserve Open Market Committee is due to release the minutes of its December 16-17 monetary policy committee meeting at 2 pm ET.
Copyright RTT News/dpa-AFX