Gold and silver expanding their losses at the start of U.S. session

Gold price technical analysis 30 - May, 2013

Completed ounce gold and silver the beginning of the U.S. session march drop down below the levels of $ 1.700 an ounce influenced by a wave of concern published by the growth data in the euro area, which confirmed the contraction of the region during the last quarter of last year, and with the expectation of financial markets to deal European leaders about the swap deal Greek bonds.

Gold prices fell influenced by the high U.S. dollar against the euro after data confirmed that the gross domestic product (GDP) to enter the area in a slight recession as a result of the worsening crisis in the European debt, and rising expectations from the bankruptcy of Greece in the event of failure to complete the swap Greek bonds.

Affected by the price of gold warnings from the Institute of International Finance, which confirmed in the case did not reach the bondholders to a final agreement, the European Central Bank will be affected most because he is the holder of a part of the Greek bonds, bearing in mind that the eyes tend also to other European countries that might occur in Department of bankruptcy, which was approached by Greece.

Gold prices fell by 1.54%, recording levels of trading at $ 1,679.43 an ounce after the decline in China’s imports of gold by 15% during January, recording levels of 32.948 kg of gold and this reflects the low levels of demand for gold during the New Year’s Day.

China imported 427,877 kg of gold during the past year 2011, making China the strongest economy in a global appetite demand for yellow metal, and it must be noted that the People’s Bank of China’s purchases of gold as a reserve has recorded the highest historical levels in 40 years.

Declaration of the Chinese economy yesterday cut the outlook for the growth of the economy at the lowest pace since 2004 at 7.5% compared to previous projection growth at 8.0%, and this gave a clear indication of the weakness of the largest Asian economy, and this is why investors tend to buy the assets of low-yielding mainly the U.S. dollar This is why gold and the lower without $ 1.700 an ounce.

Landed silver by 1.96% and traded silver prices currently on the levels of $ 33.00 per ounce compared to opening price at $ 33.95 and recorded a low of $ 32.55 and a high of $ 34.15, and landed futures contracts for copper rose 2.63% recording levels of trading about $ 3.75 an ounce.

Trading price of gold is currently $ 1,671.18 on the levels of an ounce and recorded a high of $ 1,709.01 and a low of $ 1,663.16 compared to 1,706.12 at the opening price of $.