Futures rose gold on Wednesday, as investors continued to monitor developments surrounding the debt swap deal in Greece, while some fell longs Mtaatbahkhty the previous day.
In the COMEX division of the New York Mercantile Exchange, the futures trading of gold for April delivery at 675.45,1 USD/troy per ounce during the European morning trade early on, up 0.2%.
And he had risen earlier by as much as 0.3% to trade at a session high at, 679.251. 1, and prices fell to 663.75,1 dollar on Tuesday, its lowest level since Jan. 26.
Was likely to find support at 663.75 gold, $ 1 an ounce on Tuesday, the lowest level of resistance at, 709.75 0.1 the highest level on Tuesday.
The gains came after the rise in gold of the euro against the U.S. dollar, coming off nearly two weeks. The dollar index, which measures the performance of the greenback against a basket of six other major currencies, rose 0.2% to trade at 79.74.
Gold is still more sensitive to the movements of the exchange rate of euro / dollar in the short term, which in the past was considered a positive drive to push up prices.
He said Citigroup on Wall Street in a report released him earlier that he expects gold prices to 400.2 dollars (for Oaonsh) by the end of 2012, with an annual price at the end of the day when, 400.3 (USD/Troy per ounce) in the “over the past to come. ”
However, the bank warned of price weakness in the short term, and said that there was a “real risk” that there may be corrected at 600.1 dollars (per ounce).
Although gold is considered as a safe haven in times of economic instability, but the debt crisis in the euro area have affected a little to strengthen the demand for the precious metal. In addition to the weakness of the euro and the rise of the dollar for gold instead.
Before the date of March 8, the date the exchange of bonds amounting to 106 billion euros, a requirement to Athens to benefit from the rescue fund’s $ 130 billion euros.
Earlier in the day, he urged Greek Finance Minister Evangelos force private creditors to participate in the debt swap deal, saying that this is the best offer they will receive.
At the same time remained the market concern because of fears that the euro zone slipping into recession, after data on Tuesday confirmed the region’s economy shrank by 0.3% in the last three months of 2011, in addition to the decline in household spending, exports and imports accelerated loss of gold on Tuesday After prices break below the average for 200 days on the move, which indicates that the downward momentum in prices.