Gold Ends Slightly Higher Even As Dollar Strengths
Washington (June 9) Gold futures ended slightly higher on Monday, with little or no significant economic data for direction even as investors continued to opt for the riskier equity assets tracking rising global markets. Nonetheless, the gains were limited on some positive economic data last week with the US economy adding more jobs in May than expected and the dollar trending higher.
Gold futures tracked buoyant stocks which continued to limit the safe haven appeal of the precious metal. Meanwhile, European shares rose to 6-year highs, while Wall Street stocks rallied further into record territory on Friday, driven by the upbeat jobs report. Most Asian markets also ended in the positive territory.
Gold for August delivery, the most actively traded contract, edged up USD1.40 or 0.1% to close at USD1,253.90 an ounce on the Comex division of the New York Mercantile Exchange on Monday.
Gold for June delivery scaled an intraday high of USD1,257.30 and a low of USD1,251.60 an ounce.
Last week, gold ended lower on some positive jobs data from the US even as the dollar strengthened against a select band of currencies.
Holdings of SPDR Gold Trust , the world's largest gold-backed exchange-traded fund, remained unchanged at 787.08 tons on Monday, from its previous close.
The dollar index, which tracks the US unit against six major currencies, traded at 80.65 on Monday, up from its previous close of 80.43 late Friday in North American trade. The dollar scaled a high of 80.69 intraday and a low of 80.30.
The euro traded lower against the dollar at USD1.3589 on Monday, as compared to its previous close of USD1.3644 late Friday in North American trade. The euro scaled a high of USD1.3670 intraday and a low of USD1.3584 .
In economic news, confidence among Japan households improved more-than-expected in May, a monthly survey data from Cabinet Office showed Monday. Japan's consumer confidence index rose to a seasonally adjusted 39.3 in May from 37.0 in April, well above the forecast of 37.6.
US weekly unemployment claims, consumer sentiment and retail-sales results are on tap for later in the week.
Source: Alliance News
