Logo of Phnom Penh Post newspaper Phnom Penh Post - Investors less bullish on gold as market perceives risk on USD

Investors less bullish on gold as market perceives risk on USD

Content image - Phnom Penh Post

Investors less bullish on gold as market perceives risk on USD

After negotiations with the Democrats on a virus relief plan ended without agreement, US President Donald Trump on Saturday signed an executive order for a payroll tax holiday for American workers.

The move has the potential to put more money in peoples’ wallets by temporarily suspending the collection of payroll taxes for those earning less than $100,000 a year.

The deferral will start on September 1 and run until December 31. Despite it being only a temporary measure, it could to a certain extent have negative consequences down the road.

As well as the payroll tax suspension, investors will continue to keep a close eye on negotiations in the US over the next round of economic stimulus measures.

While hopes grow on the stalled talks between Democrats and the White House on a new support package for states hit hard by the covid-19 pandemic, delays in reaching a deal weighing on market sentiment are not expected to push gold much lower than its current price in the near future.

The gold market has been bearish since last Friday, at a high of $2,072.50 per ounce and its low sitting at $1,901 on Tuesday.

Based on fundamental and technical analysis, traders can this week consider selling gold in a range between $1,950 and $1,935, setting the sell range at $1,920 to $1,972, the stop loss at $1,980 and taking profit at $1,872 to $1,825 and $1,750.


  • Angkor lifetime pass, special Siem Reap travel offers planned

    The Ministry of Tourism plans to introduce a convenient, single lifetime pass for foreign travellers to visit Angkor Archaeological Park and potentially other areas. The move is designed to stimulate tourism to the culturally rich province of Siem Reap as the start of the “Visit

  • ASEAN Foreign Ministers’ meet commences, Taiwan issue possibly on table

    The 55th ASEAN Foreign Ministers’ Meeting (AMM) and related meetings hosted by Cambodia kicks off in Phnom Penh on August 3, with progress, challenges, and the way forward for the ASEAN Community-building on the table. Issues on Taiwan, sparked by the visit of US House Speaker

  • Pailin longan winery tries to break through to the big time

    Longan aren’t quite as glamorous as some fruits. They don’t have the star-power of mangos or generate the excitement of a pricey seasonal niche fruit like the pungent durian. Unlike bananas or oranges, which are known and loved everywhere, longan remains a decidedly

  • Recap of this year’s ASEAN FM meet and look ahead

    This year’s edition of the ASEAN Foreign Ministers’ Meeting (AMM) hosted by Cambodia comes against the backdrop of heightened global tensions and increasing rivalry between major powers that have been compared to the animosity of the Cold War era. The following is The Post’

  • Debt restructuring over, time to tackle rising NPL ratio

    The Cambodian banking system has just completed a 26-month debt restructuring exercise where scores of loan accounts were revised, classified and provisioned as the rate of non-performing loans inched up, sparking a slight credit risk unease Implemented in April 2020, the Covid-19 debt restructuring measures came

  • Koh Slaket studio resort brings culture with style

    Davitra (Cambodia) Co Ltd’s multi-million-dollar 13ha Koh Slaket studio-cum-resort just east of the capital was inaugurated in the first phase on August 6, providing national and international tourists with a new travel option and job opportunities for locals. The man-made cultural and scenic lakefront getaway