Gold Gains By 1.2 Percent In The Week

LONDON (July 21) Gold markets got confused on the back of Federal Reserve Ben Bernanke testimony. Bernanke said that bond buying was dependent on the state of affairs in the economy. Fed Chairman said that with high level of unemployment and inflation running below the targets highly accommodative monetary policy will remain appropriate for the foreseeable future. COMEX Gold benchmark August expiry contract settled at $ 1292.9 per troy ounce in the week, up 1.2 percent.

The SPDR holdings remained moving down and have now reached 935.17. This was the lowest level for Gold holdings since February 2009. In another news, US Department of Labor reported that the number of individuals filing jobless claims declined by 24000 to 334000 for the week ending 13 July 2013. Dollar settled at 1.3111 against the Euro, down 0.34 percent. Volatility in US Dollar was seen before the Fed announcement. However, a declining trend was noted in the US currency after the comments of Fed chairman.