Futures rose gold for the eighth consecutive day on Tuesday, trading little less than two weeks amid continuing to rise due to higher borrowing costs in Spain, which has affected the market sentiment and on gold stability.
Gold dealers looking forward to the conclusion of the meeting of the Federal Reserve on Wednesday to develop a policy, which could hurt the dollar and gold supports.
Was little changed on the euro against the pound sterling and the yen, with the high euro / pound
In the COMEX division of the New York Mercantile Exchange, the futures trading of gold for August delivery at 632.95, $ 1 per ounce during the early European trading, up 0.37%.
This has risen earlier by as much as 0.45% currently trading in a session high at 634.25, $ 1 an ounce, up in less than two weeks at 634.35, $ 1 an ounce on June 15.
The gold futures likely to find support at 559.35, $ 1 per ounce the lowest price since 8 June, and in the near term resistance at 642.15, 1, the highest level since June 6.
And boosted demand for safe haven increased return on bonds, Spanish with the 10-year rate of 7.16%, after rising to its highest level since the introduction of the euro was up to 7.28% on Monday, amid fears that the rescue package of 100 billion euros that have been approved in the earlier this month may not be enough to repair the banking system. Struggling in the country
The 7% rate of a critical large-scale and can not be tolerated in the long run, a level which forced Greece, Ireland and Portugal for an international rescue operations.
In the meantime, investors await the conclusion of the meeting of the Federal Reserve on Wednesday to develop a policy, amid speculation about the possibility of imposing a third set of mitigation measures from the central bank.
He was concerned that the Spanish bond yields may continue to rise amid fears that the rescue package of 100 billion euros, which was approved earlier this month may not be enough to repair the banking system. Struggling in the country
And Spain became the euro zone in the fourth country in need of rescue. Some investors fear the Yemen it is only a matter of time before that the country needs to save the deal ..
At the same time, strengthened the political uncertainty in Greece, the appeal of the precious metal. And boosted morale amid hopes that the New Democracy party in Greece will form a coalition government with the Socialist PASOK party, which would allow Athens to resume negotiations with creditors on Cefqha International Rescue.
Investors are now waiting for a result of the Group of 20 summit in Mexico, amid hopes that it can produce new measures to combat the crisis in Europe.
In a statement, said the leaders of the Group of 20 would be “take the necessary measures” to boost the global economy, and if growth weakens to a great extent, and that the debt burdens of heavily indebted countries should be prepared to stimulate its economy, according to a statement issued by the summit.
The market also is looking to conclude the meeting of the Federal Reserve on Wednesday to develop a policy, amid speculation about the possibility of imposing a third set of mitigation measures from the central bank.
Gold rose by up to 15% earlier this year to reach 1790 USD/Troy per ounce ounce after that the mention of the Fed in January that he would keep interest rates near zero until at least late 2014 and pointed out that can provide a new round of asset purchases.
However, prices have dropped its last almost 9% since late February, amid growing fears of a growing European debt crisis, and this has increased the demand for hedging of gold, and green.
Elsewhere in Komksartft silver for July delivery was 0.55% to trade at 28.82 dollars per ounce, while copper for July delivery fell a rate of 0.15% to trade at 3.390 dollars