1 Jul 2015
Gold trades moderately weak
FXStreet (Mumbai) - Gold continues to drift lower in the Asian session despite the Greek debt crisis. The metal currently trades 0.52% lower at USD 1172.90/Oz.
Gold suffers lack of safe haven appeal
The metal, traditionally a safe haven asset, has failed to strengthen despite the ongoing Greek turmoil. Moreover, the metal has lost its shine on the US rate outlook. The markets expect the Fed to raise rates this year, which has weighed over the metal.
Another safe haven asset – US Treasuries suffered similar loss of appeal due to the rate outlook. The Treasuries also suffered the first quarterly loss since 2013.
Gold Technical Levels
The immediate support is seen at 1168.10, under which the metal could target 1162.10 (June 5 low). On the other hand, a break above 1175.70 could see the pair test a hurdle at 1187.30.
Gold suffers lack of safe haven appeal
The metal, traditionally a safe haven asset, has failed to strengthen despite the ongoing Greek turmoil. Moreover, the metal has lost its shine on the US rate outlook. The markets expect the Fed to raise rates this year, which has weighed over the metal.
Another safe haven asset – US Treasuries suffered similar loss of appeal due to the rate outlook. The Treasuries also suffered the first quarterly loss since 2013.
Gold Technical Levels
The immediate support is seen at 1168.10, under which the metal could target 1162.10 (June 5 low). On the other hand, a break above 1175.70 could see the pair test a hurdle at 1187.30.