The gold price remained stuck in range-bound trading during Wednesday’s early morning sessions.
Spot gold was last at $1,192.40/1,193.20 per ounce, a $0.40 loss on the previous day’s close, but finding support from a weaker dollar.
The dollar was last at 1.1187 against the euro, having pared back from earlier gains on increased optimism that there will be a resolution with Greece.
Greeks and officials from the ECB and the IMF remain locked in negotiations – while the country looks set to make a first repayment of 300 million euros to the IMF on June 5, it is unclear how it will pay off the rest of its debt.
“Gold is certainly lacking the conviction to break one way or other at this juncture and looks set to continue trading the $1,180-1,205 range for the interim. With a few more heavy hitting releases later this week including the ECB policy meeting and Non-Farm Payrolls out of the US any significant surprises could force a breach,” MKS Capital said.
“The strength of the euro rally and discussions of a possible further delay in US rate increases should have pushed gold up more substantially. Prices remain below $1,200. But the market has not given way either despite tepid physical demand. Gold may stay locked in a narrow trading range, along with silver, at least up until Friday’s employment report,” Neil Brazil at HSBC added.
In today’s data, Chinese HSBC services PMI was release overnight and was as expected at 53.5.
Later there will be a host of services and final services PMI numbers from Europe, The EU has retail sales and unemployment rate, too. The ECB will also release its minimum bid rate, which will be followed by a press conference.
From the US, ADP non-farm unemployment change, trade balance, final services PMI and ISM non-manufacturing PMI numbers are all set for release.
The key focus for gold, however, will be the non-farm payroll on Friday, which is forecast at 226,000.
Silver at $16.74/16.79 was marginally lower than the previous $16.78. Platinum at $1,180/1,118 was down $3 and palladium at $764/769 lost $1.
The post Gold price stuck in range, awaits key data releases appeared first on The Bullion Desk.
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