FXStreet (Mumbai) – Gold prices rose to a session high of USD 1200.3/Oz levels ahead of the data in the US, which could show US economy exited deflation in May.
Trades around USD 1198/Oz
The US CPI data would show whether the price pressures are moving in line with Fed expectations. The sharp rise in the April core inflation had triggered speculation of inflation moving closer to the Fed’s target of 2%. Consequently, the inflation print could trigger moves in the USD index and Gold.
Investors shall also watch out for the weekly jobless claims print to see if the claims stayed below 300K for the 15th consecutive week.
Gold Technical Levels
The immediate resistance is located at 1200, above which gains could be extended to 1207.40. On the flip side, a break below 1192.52 (50-DMA), followed by another support at 1185.00.
(Market News Provided by FXstreet)