FXStreet (Mumbai) – Gold price on Comex halted its three-day decline on Thursday and steadies below 1130 levels as return of risk appetite on stabilizing equities drives the entire commodities space higher.
Gold awaits US data
Currently, gold trades 0.27% higher at 1127.60, having posted a high at 1128.40 and a low at 1123.10. The yellow metal is seen posting mild gains and trades in a $ 5 narrow range as traders unwind gold shorts and refrain from creating fresh positions ahead of the crucial GDP report from the US.
Stocks rallied in the US, leading to Asian and Chinese markets gaining after being subjected to a heavy price massacre earlier this week, sending riskier assets such as commodities higher with gold also benefitting slightly.
Analysts at ANZ noted, “Turmoil across global markets did little to bring people back to gold as investors ignored the metal’s safe haven appeal and focused on the prospect of higher U.S. interest rates.”
Meanwhile, the US dollar index, a virtual gauge of greenback’s strength, trades 0.09% higher at 95.39.
Gold Technical Levels
The metal has an immediate resistance at 1130 and 1134.30 (Aug 18 High) levels. Meanwhile, support stands at 1123.10 (Today’s Low) below which doors could open for 1116.90 (Aug 26 Low) levels.
(Market News Provided by FXstreet)