Gold steadied on Tuesday

Gold steadied on Tuesday, after falling in the previous session on a weaker euro, while prices were on track for their biggest monthly increase since August.

FUNDAMENTALS

* Spot gold added $1.05 an ounce to $1,729.69 an ounce by 0030 GMT, having hit an intraday low around $1,716 on Monday. Gold struck a record at $1,920.30 last September.

* Prices were headed for a more than 10 percent rise this month, highest since a 12 percent gain in August 2011.

* Gold rose about 5 percent last week, its fourth consecutive weekly gain, after the U.S. Federal Reserve said it was unlikely to raise interest rates from near zero until at least late 2014, which could put pressure on the dollar.

* Chancellor Angela Merkel cemented her political ascendancy in Europe on Monday when 25 out of 27 EU states agreed to a German-inspired pact for stricter budget discipline, even as they struggled to rekindle growth from the ashes of austerity.

But differences over the limits of austerity, and Greece’s unfinished debt restructuring negotiations, hampered efforts to convey a more optimistic message that Europe is getting on top of its debt crisis.

* U.S. February gold was steady at $1,731.50 an ounce.

MARKET NEWS

* The dollar floundered around three-month lows versus the yen in Asia on Tuesday and was near enough to record depths to make markets wary of intervention, while the euro nursed losses as Greece’s debt swap deal proved elusive.

* Japan’s Nikkei share average dipped in early trade on Tuesday, down for the fourth straight session, as Canon Inc and Fujiflim Holdings fell after their earnings results, though Sumitomo Mitsui Financial Group gained.

* U.S. crude oil rose above $99 a barrel on Tuesday on concerns over supply disruptions in South Sudan and OPEC member Iran.

DATA/EVENTS
    0500  Japan Construction orders yy   Dec 2011   

    0700  Germany Retail sales yy real   Dec 2011   

    1100  Brazil Industrial output yy    Dec 2011    

    1245  U.S. ICSC chain stores yy      Weekly     

    1445  U.S. Chicago PMI               Jan        

    1500  U.S. Consumer confidence       Jan        <USCONC=EC	

    PRICES
  Precious metals prices 0030 GMT
  Metal             Last    Change  Pct chg  YTD pct chg    Volume
  Spot Gold        1729.69    1.05   +0.06     10.61
  Spot Silver        33.46    0.00   +0.00     20.84
  Spot Platinum    1614.00    4.76   +0.30     15.87
  Spot Palladium    686.72    3.02   +0.44      5.24
  COMEX GOLD FEB2  1730.20   -0.80   -0.05     10.43          179
  COMEX SILVER MAR2  33.47   -0.06   -0.18     19.88          415
  Euro/Dollar       1.3142
  Dollar/Yen         76.37

  COMEX gold and silver contracts show the most active months

Tags: Gold analysis, Gold future prices, Gold futures, Gold investment, Gold news, Gold price, gold price forecast, Gold prices, price of gold, Spot gold, Spot gold price

Posted by admin on Jan 31 2012. Filed under Gold price. You can follow any responses to this entry through the RSS 2.0. You can leave a response or trackback to this entry