💎 Fed’s first rate cut since 2020 set to trigger market. Find undervalued gems with Fair ValueSee Undervalued Stocks

Gold futures trade in tight range as debt worries support

Published 06/13/2011, 03:23 AM
UBSN
-
FLG
-
GC
-
HG
-
SI
-
Investing.com – Gold futures fluctuated between small gains and losses on Monday, after falling to a one-week low in the previous session as ongoing uncertainty over a resolution to Greece’s debt crisis supported prices.

On the Comex division of the New York Mercantile Exchange, gold futures for August delivery traded at USD1,530.25 a troy ounce during late Asian trade, easing down 0.1%.            

The gold contract traded between a range of USD1,528.25, the daily low and USD1,533.75, the daily high.

On Sunday, Eurogroup chairman Jean- Claude Juncker said a bailout for Greece must include “voluntary” investor participation and meet the approval of central bankers.

The comments came after Germany’s Finance Minister Wolfgang Schaeuble said on Friday that private investors should contribute to a second Greek bailout.

However, the European Central Bank remains opposed to any restructuring of Greek sovereign debt, adding to investors' nervousness over the region’s debt crisis. 

Swiss banking giant UBS raised its three-month gold forecast to USD1,600 from USD1,400 an ounce, while cutting its one-month forecast to USD1,475 from USD1,500.

“Weakness in global data is fostering more optimism on gold in the second half. There’s the threat that real interest rates might remain entrenched in negative territory across many regions,” the bank said in a report on Friday.

The report added that gold prices “may see a pullback over the summer months,” though any drops “will be short-lived.”

Elsewhere, silver for July delivery dropped 1.3% to trade at USD35.70 a troy ounce during late Asian trade, while copper for July delivery slipped 0.1% to trade at USD4.035 a pound.

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.