FXStreet (Mumbai) – Gold prices hit a session low of USD 1150.90/Oz in the early US session as the USD strengthened across the board on interest rate outlook post Greek deal.
Gold takes a hit as Fed nears rate hike after Greek deal
The metal fell into losses as the Greek deal pushed the US Fed one step closer to the much anticipated lift-off. The Fed minutes released last week showed policymakers were concerned about the situation in Greece. Furthermore, Fed chairwoman Yellen, in her speech on Friday, indirectly stated that lift-off would be data dependent as well as Greece dependent.
Consequently, solution to Greece issue, pushed the USD higher across the board. The USD index now trades 0.77% higher at 96.70, due to which the yellow metal fell 0.60% to USD 1150.90/Oz. With positive action in risk assets, along with a strong USD, gold prices could remain under pressure till the NY closing.
Gold Technical Levels
The immediate support is seen at 1148, under which the metal could target 1140.00. On the other hand, a break above 1152.90 could see the metal re-test the daily high at 1163.80.
(Market News Provided by FXstreet)