Gold failed to profit from the increased risk aversion among market participants yesterday and continues to trade around the $1,180 per troy ounce mark. Good US economic data, which for a time gave rise to a strong appreciation of the US dollar, clearly precluded any increase in the gold price. No progress was made yesterday in the negotiations with Greece over further financial aid. The differences between Greece and its creditors are evidently so great that the International Monetary Fund delegation left the negotiations prematurely yesterday. Time is running out if any agreement is to be reached: not only is the repayment of €1.6 billion to the IMF due at the end of the month – the second aid program for Greece also officially comes to an end then. “The uncertainty over what will happen to Greece should ultimately result in a higher gold price after all. Gold ETFs saw inflows of 1.2 tons yesterday, their highest daily inflow in four weeks, without this having any major impact on the price”, says Commerzbank.
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