17 Dec 2014
Uninspired by CPI data Gold awaits Fed statement
FXStreet (Mumbai) - Gold continues to trade lackluster post the release of the soft US CPI data, as investors avoid to take bets ahead of the conclusion of the two-day Federal Reserve meet later today.
The yellow metal continues to trade in the range of USD 1195-1200/Oz levels despite a slowdown in the inflation rate in the US. Year-on-year the CPI in November increased 1.3%, against the median estimate of 1.4% and down from the October’s rise of 1.7%. Moreover, the metal lacks fresh cues from US treasuries as well as the equity markets across the Europe and the US. The US equity markets are likely to open higher after a three-day slide, despite of the risk averse European equities. Meanwhile, the US 10-yr treasury yields appear to have consolidated around 2.08%.
Gold Technical Levels
Gold is stuck largely in a range of 1203 to 1194 levels. Thus, prices may test 1212 levels in case the upper end of the range is breached. On the other hand, a fall towards 1185 levels cannot be ruled out, if the lower end of the range is taken out.
The yellow metal continues to trade in the range of USD 1195-1200/Oz levels despite a slowdown in the inflation rate in the US. Year-on-year the CPI in November increased 1.3%, against the median estimate of 1.4% and down from the October’s rise of 1.7%. Moreover, the metal lacks fresh cues from US treasuries as well as the equity markets across the Europe and the US. The US equity markets are likely to open higher after a three-day slide, despite of the risk averse European equities. Meanwhile, the US 10-yr treasury yields appear to have consolidated around 2.08%.
Gold Technical Levels
Gold is stuck largely in a range of 1203 to 1194 levels. Thus, prices may test 1212 levels in case the upper end of the range is breached. On the other hand, a fall towards 1185 levels cannot be ruled out, if the lower end of the range is taken out.