FXStreet (Mumbai) – Gold prices on Comex extends overnight losses and trades in more familiar range in the mid-Asian session, after the yellow metal was dragged lower on Monday from a spike above 1200 levels shortly after US ISM PMI report release which beat market forecasts.
Gold back below $ 1190
Currently, gold trades -0.10% lower at 1187.60, having posted day’s high at 1189.90 and day’s lows at 1186.60. Gold keeps losses and remains weak this session largely as impressive US ISM manufacturing PMI release boosted the USD bulls on increased Fed rate hike bets this year. Report from the Institute for Supply Management delivered encouraging results. The headline gauge showed its biggest gain in eight months and climbed to 52.8 points.
Meanwhile, the US dollar index, measuring the relative strength of the greenback against a basket of six major currencies, trades flat at 97.51, retreating from fresh session highs reached at 97.61.
In the day ahead, markets will now focus on a fresh set of US macro releases including factory orders and Economic optimism data while FOMC Member Brainard is due to speak about the US economic outlook and monetary policy in Washington which may provide further hints on the timing of Fed rate lift-off.
Gold Technical Levels
The metal has an immediate resistance at 1192 and 1195 levels. Meanwhile, support stands at 1182 below which doors could open for 1178 levels.
(Market News Provided by FXstreet)