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8 Sep 2015
Gold motionless amid rally in stocks
FXStreet (Mumbai) - Gold prices remain dead flat amid the rally in the stocks and the moderate weakness seen in the USD index.
Relatively resilient safe haven
The metal remains relatively resilient compared to other safe havens, trading largely unchanged on the day around USD 1122-1123/Oz levels. The Yen is down 0.6% against the USD, while the CHF is down 0.3%. Meanwhile, the treasury prices fell, pushing the yields higher. The 10-year yield currently trades 6 basis points higher at 2.188%.
Moreover, the market has been left divided on the timing of the Fed rate hike after Friday’s jobs report. Consequently, the interest rate doves have kept the metal resilient amid classic risk-on action in the financial markets.
Gold Technical Levels
The immediate resistance is located at 1127.16 (10-DMA), above which the spot could re-test 1132.90 (Nov 2014 low). On the other side, support is located at 1117.40 (50-DMA) and 1100 levels.
Relatively resilient safe haven
The metal remains relatively resilient compared to other safe havens, trading largely unchanged on the day around USD 1122-1123/Oz levels. The Yen is down 0.6% against the USD, while the CHF is down 0.3%. Meanwhile, the treasury prices fell, pushing the yields higher. The 10-year yield currently trades 6 basis points higher at 2.188%.
Moreover, the market has been left divided on the timing of the Fed rate hike after Friday’s jobs report. Consequently, the interest rate doves have kept the metal resilient amid classic risk-on action in the financial markets.
Gold Technical Levels
The immediate resistance is located at 1127.16 (10-DMA), above which the spot could re-test 1132.90 (Nov 2014 low). On the other side, support is located at 1117.40 (50-DMA) and 1100 levels.