Gold trades flat

FXStreet (Mumbai) - Gold prices trade flat around USD 1160-1162/Oz as investors weigh risk of Grexit and its potential impact on the Fed’s decision to hike rates this year.

Gold: supported by weakness in the USD

The metal has recovered from the Asian session low of USD 1157.9, tracking the USD index, which is down 0.43% at 96.25. Moreover, the yellow metal has remained fixated on its inverse relationship with the USD throughout the week. Consequently, it failed to strengthen on its safe haven appeal earlier this week, since the USD had strengthened due to increased demand for the US treasuries.

With no first tier economic data due for release in Europe and US, the metal is likely to take cues from the movement in the USD index.

Gold Technical Levels

The metal faces immediate resistance at 1166.20 (hourly 200-MA), above which the prices could rise to 1174.7 (July 6 high). On the other hand, support is seen at 1157.6 and 1154.9.

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