FXStreet (Mumbai) – The Asian markets responded to the upward revision of the US second quarter GDP by offering Gold just below the 100-DMA located at USD 1149/Oz levels.
European desks to join the party?
The European desks may chose to ditch the metal in line with Asian peers as the economic calendar lacks fresh macro trigger. The losses in Gold in Asian came through despite little reaction in the Fed rate hike bets as represented by the two-year treasury yield, the fed funds futures or CME Fed watch data.
The moderate strength in the USD index may have weighed over the metal. Ahead in the day, the metal could take cues from the speeches of the Fed officials and US personal spending and income report.
Gold Technical Levels
The metal currently trades around USD 1138/Oz levels. The immediate support is located at 1132.50 (hourly 200-MA), under which the losses could be extended to 1121.38 (Sep 22 low). On the other side, resistance is seen at 1141.73 (Sep 18 high) and 1149 (100-DMA).
(Market News Provided by FXstreet)