FXStreet (Córdoba) – Gold prices dropped further during the American session and bottomed at USD 1134/Oz, the lowest level since last Thursday. Currently is attempting to move off session lows and trades at USD 1139/Oz, down 1.45% for the day.
Yesterday it reached the strongest level in a month at USD 1169/Oz but quickly pulled back and since then it has been correcting lower after rising USD 70 during the previous two weeks.
Gold fails to rally after Chinese rate cut
The price of the metal was hovering around USD 1150 and after the rate cut in China turned modestly the downside. Afterwards attempted to rally on US economic data but failed to hold above USD 1150 the mentioned area and started to decline.
The pair is about to post the second daily decline in a row, it is the first time since the beginning of the month that it drops for two consecutive days; Could these be a signal that it has topped in the short-term around $1170?
(Market News Provided by FXstreet)