Investing.com – Gold futures edged lower on Thursday, easing off a four-day high as the safe haven appeal of the precious metal was dented after Greece’s parliament passed an austerity bill, while a weaker U.S. dollar supported prices.
On the Comex division of the New York Mercantile Exchange, gold futures for August delivery traded at USD1,509.35 a troy ounce during late Asian trade, easing down 0.1%.
It earlier fell as much as 0.15% to a daily low of USD1,508.25 a troy ounce.
On Wednesday, the Greek parliament voted to accept a EUR28.4 billion, five-year austerity package needed to secure a EUR12 billion tranche of bailout funds from the European Union and International Monetary Fund.
There was to be a second vote later Thursday on the implementation of different parts of the package, such as tax rises and the sale of state assets.
The euro traded at a three-week high against the greenback, while the dollar index, which tracks the performance of the greenback versus a basket of six other major currencies, was down 0.52% to trade at 74.62, the lowest level since June 10.
Dollar weakness usually benefits gold, as it boosts the metal's appeal as an alternative asset and makes dollar-priced commodities cheaper for holders of other currencies.
Gold prices were headed for a second consecutive monthly decline, slumping 1.4% in June, but still on course for 5.7% quarterly gain. Gold has posted 11 consecutive quarterly gains.
Global financial service provider Barclays said in a report late Wednesday that while gold prices have not been able to rally on Greece’s debt woes, it still saw reasons to buy the precious metal.
“In the long term, the outlook for gold prices remain intact, as low interest rates in the United States, uncertainties in euro zone's fiscal situation, and high inflation in major emerging economies are likely to retain its appeal.”
Meanwhile, silver for September delivery edged 0.2% higher to trade at USD34.89 a troy ounce during, while copper for September delivery rose 0.7% to trade at USD4.254 a pound.
On the Comex division of the New York Mercantile Exchange, gold futures for August delivery traded at USD1,509.35 a troy ounce during late Asian trade, easing down 0.1%.
It earlier fell as much as 0.15% to a daily low of USD1,508.25 a troy ounce.
On Wednesday, the Greek parliament voted to accept a EUR28.4 billion, five-year austerity package needed to secure a EUR12 billion tranche of bailout funds from the European Union and International Monetary Fund.
There was to be a second vote later Thursday on the implementation of different parts of the package, such as tax rises and the sale of state assets.
The euro traded at a three-week high against the greenback, while the dollar index, which tracks the performance of the greenback versus a basket of six other major currencies, was down 0.52% to trade at 74.62, the lowest level since June 10.
Dollar weakness usually benefits gold, as it boosts the metal's appeal as an alternative asset and makes dollar-priced commodities cheaper for holders of other currencies.
Gold prices were headed for a second consecutive monthly decline, slumping 1.4% in June, but still on course for 5.7% quarterly gain. Gold has posted 11 consecutive quarterly gains.
Global financial service provider Barclays said in a report late Wednesday that while gold prices have not been able to rally on Greece’s debt woes, it still saw reasons to buy the precious metal.
“In the long term, the outlook for gold prices remain intact, as low interest rates in the United States, uncertainties in euro zone's fiscal situation, and high inflation in major emerging economies are likely to retain its appeal.”
Meanwhile, silver for September delivery edged 0.2% higher to trade at USD34.89 a troy ounce during, while copper for September delivery rose 0.7% to trade at USD4.254 a pound.