Gold prices are trading weak despite Greek issue and escalating tensions in Ukraine, due to the strength in the US Treasury yields and a strong US dollar.
10-year Treasury yield at one-month high
The 10-year yield is trading at a one-month high of 2.00% as markets continue to price-in an early interest rate hike in the US after Friday’s stellar US Jobs report. The rise in Treasury yields pushed the US dollar higher against the basket of currencies. The USD index currently trades 0.10% higher at 94.78 levels after having recovered from the low of 94.45 levels. Consequently, Gold prices weakened 0.35% to trade at USD 1237.40/Oz levels.
The yellow metal may extend losses as the major US index futures are pointing to a strong opening. The S&P futures are up 0.64%, while the DJIA futures are up 0.59%.
Gold Technical Levels
The immediate support is located at 1232.88 (50-DMA), under which losses could be extended to 1228.4 (Feb. 6th low) levels. On the flip side, resistance is seen at 1245.24 (200-DMA) and 1251.9 (Jan. 29th low) levels.
10-year Treasury yield at one-month high
The 10-year yield is trading at a one-month high of 2.00% as markets continue to price-in an early interest rate hike in the US after Friday’s stellar US Jobs report. The rise in Treasury yields pushed the US dollar higher against the basket of currencies. The USD index currently trades 0.10% higher at 94.78 levels after having recovered from the low of 94.45 levels. Consequently, Gold prices weakened 0.35% to trade at USD 1237.40/Oz levels.
The yellow metal may extend losses as the major US index futures are pointing to a strong opening. The S&P futures are up 0.64%, while the DJIA futures are up 0.59%.
Gold Technical Levels
The immediate support is located at 1232.88 (50-DMA), under which losses could be extended to 1228.4 (Feb. 6th low) levels. On the flip side, resistance is seen at 1245.24 (200-DMA) and 1251.9 (Jan. 29th low) levels.
