Back
16 Jul 2015
Gold in red near $ 1146
FXStreet (Mumbai) - Gold prices on Comex keeps its downside momentum intact in Asia, although recovered from fresh four-month lows reached at 1132.80 on Wednesday following Fed Chair Yellen’s hawkish comments which boosted the US dollar across the board.
Gold subdued on rate-hike talks
Currently, gold trades -0.10% lower at 1146, having posted day’s high at 1147.70 and day’s low at 1144.80. The yellow metal recovered from fresh multi-year lows, however remains subdued as traders continue to digest Fed Yellen’s comments, at the Capitol Hill last US session where she reiterated that Fed is on track to raise rates at some time this year.
Moreover, the US dollar remains broadly supported as Yellen is expected to repeat those comments when she testifies before the Senate Banking Committee on Thursday. The US dollar, a virtual gauge of greenback’s strength now trades 0.18% higher at 97.46.
A looming US rate hike boosts the dollar, putting dollar-priced assets such as gold out of favour as they become more expensive for buyers holding other currencies.
Gold Technical Levels
The metal has an immediate resistance at 1150 and 1153 levels. Meanwhile, support stands at 1140 below which doors could open for 1132.80 levels.
Gold subdued on rate-hike talks
Currently, gold trades -0.10% lower at 1146, having posted day’s high at 1147.70 and day’s low at 1144.80. The yellow metal recovered from fresh multi-year lows, however remains subdued as traders continue to digest Fed Yellen’s comments, at the Capitol Hill last US session where she reiterated that Fed is on track to raise rates at some time this year.
Moreover, the US dollar remains broadly supported as Yellen is expected to repeat those comments when she testifies before the Senate Banking Committee on Thursday. The US dollar, a virtual gauge of greenback’s strength now trades 0.18% higher at 97.46.
A looming US rate hike boosts the dollar, putting dollar-priced assets such as gold out of favour as they become more expensive for buyers holding other currencies.
Gold Technical Levels
The metal has an immediate resistance at 1150 and 1153 levels. Meanwhile, support stands at 1140 below which doors could open for 1132.80 levels.