FXStreet (Mumbai) – Gold prices on Comex fell further in to losses during the European session as the US dollar remains broadly higher on Fed hike prospects while rallying European equities on successful Greek parliament bailout vote adds to the downside in the yellow metal.
Gold pressured ahead of more Yellen
Currently, gold trades -0.25% lower at 1144.3, having posted day’s high at 1147.70 and day’s low at 1143.60. Gold failed to move higher on Thursday amid general expectations that the Fed would start to raise its rates later this year, boosting the US dollar.
Analysts at ANZ noted, “There are still many speculations about when the rate hike would occur, with analysts saying the September meeting cannot be ruled out, but “recent international uncertainty and mixed US dataflow may stay the Fed’s hand.”
Moreover, the US dollar remains broadly supported as Yellen is expected to repeat those comments when she testifies before the Senate Banking Committee on Thursday. The US dollar, a virtual gauge of greenback’s strength now trades 0.29% higher at 97.57.
As for economic data, initial jobless claims and Philly Fed Manufacturing index are on the schedule, along with the European Central Bank’s meeting and press conference that may influence US dollar across the board.
Gold Technical Levels
The metal has an immediate resistance at 1150 and 1153 levels. Meanwhile, support stands at 1140 below which doors could open for 1132.80 levels.
(Market News Provided by FXstreet)