Investing.com - Gold prices rose in Asian trading on Thursday, reversing recent losses sustained after the U.S. Federal Reserve said it was less inclined to consider monetary stimulus measures such as purchasing bonds from banks to fuel more economic growth and hiring.
On the Comex division of the New York Mercantile Exchange, gold futures for June delivery traded up 0.64% at USD1,624.35 a troy ounce.
Gold futures were likely to test support at USD1613.55 a troy ounce, Wednesday's low, and resistance at USD1,682.65, Tuesday's high.
Earlier this week, the Federal Reserve released the minutes of its most recent monetary policy meeting, which indicated voting members felt less of need to consider rolling out stimulus measures such as quantitative easing — asset purchases from banks — to steer the economy away from deflationary decline and closer to growth and hiring.
Such loose policies weaken the dollar and send gold climbing, but with the Fed hinting that the economy doesn't need them, gold plunged and the dollar shot up in recent sessions.
Meanwhile, more dollar-friendly data hit the wire prior to Asia's opening on Thursday.
In the U.S., the ADP National Employment Report showed the country's private sector added a net 209,000 nonfarm payrolls to the economy in March, above expectations for a gain of 200,000, fueling even more sentiment the U.S. economy continues gaining ground and needs less intervention from the Fed.
Also in the U.S., the Institute of Supply Management said its non-manufacturing purchasing managers' index declined by 1.3 points to 56.0 last month from a reading of 57.3 in February.
Analysts had expected the index, which gauges the health of the U.S. service sector, to decline by 0.3 points to 57.0 in March, and the news sparked an equities selloff, which further supported the greenback and sent its traditional hedge, gold, falling.
In Europe, the European Central Bank left its benchmark interest unchanged at 1.00%, in a widely expected decision, although turnout at a Spanish bond auction disappointed.
The flurry of news sent gold falling to the point that it could fall no further, and rebounded as the market sought new steering currents.
Elsewhere on the Comex, silver for May delivery was up 1.08% and trading at USD31.380 a troy ounce, while copper for May delivery was up 0.25% and trading at USD3.808 a pound.
On the Comex division of the New York Mercantile Exchange, gold futures for June delivery traded up 0.64% at USD1,624.35 a troy ounce.
Gold futures were likely to test support at USD1613.55 a troy ounce, Wednesday's low, and resistance at USD1,682.65, Tuesday's high.
Earlier this week, the Federal Reserve released the minutes of its most recent monetary policy meeting, which indicated voting members felt less of need to consider rolling out stimulus measures such as quantitative easing — asset purchases from banks — to steer the economy away from deflationary decline and closer to growth and hiring.
Such loose policies weaken the dollar and send gold climbing, but with the Fed hinting that the economy doesn't need them, gold plunged and the dollar shot up in recent sessions.
Meanwhile, more dollar-friendly data hit the wire prior to Asia's opening on Thursday.
In the U.S., the ADP National Employment Report showed the country's private sector added a net 209,000 nonfarm payrolls to the economy in March, above expectations for a gain of 200,000, fueling even more sentiment the U.S. economy continues gaining ground and needs less intervention from the Fed.
Also in the U.S., the Institute of Supply Management said its non-manufacturing purchasing managers' index declined by 1.3 points to 56.0 last month from a reading of 57.3 in February.
Analysts had expected the index, which gauges the health of the U.S. service sector, to decline by 0.3 points to 57.0 in March, and the news sparked an equities selloff, which further supported the greenback and sent its traditional hedge, gold, falling.
In Europe, the European Central Bank left its benchmark interest unchanged at 1.00%, in a widely expected decision, although turnout at a Spanish bond auction disappointed.
The flurry of news sent gold falling to the point that it could fall no further, and rebounded as the market sought new steering currents.
Elsewhere on the Comex, silver for May delivery was up 1.08% and trading at USD31.380 a troy ounce, while copper for May delivery was up 0.25% and trading at USD3.808 a pound.