Gold stabilized above $ 1,250 an ounce on Friday prior to a key U.S. employment report, after rising nearly 1 percent in the previous session after the European Central Bank announced actions to boost the economy of the euro zone.
Gold tends to take advantage of the ultra easy monetary policy, reducing the opportunity cost of keeping yield assets such as gold.
Spot gold was trading at U.S. $ 1253.70 an ounce at 0917 GMT, little changed from $ 1,253.29 on Thursday night.
Comex Gold for delivery in August quoted at $ 1,252.80 a troy ounce during European afternoon trade, down 0.05%.
The August contract rising 0.72% was set on Thursday to close at $ 1,253.3 per troy ounce.
Gold futures edge were likely to find support at $ 1242.80 an ounce, the lowest since June 4 and resistance at $ 1,267.50, the high of May 28. low from June 4 and resistance at $ 1,267.50, the high from May 28.
Pressure as well as in the international market, gold prices in the domestic market have started to come down. MCX gold price has come down to Rs 25,900.
MCX Gold August fututes prices was trading at Rs 25960 down Rs 15, or 0.06 percent. The Gold price hit an intraday high of Rs 25988 and an intraday low of Rs 25915.
Economists surveyed by Reuters have returned an average forecast of nonfarm payrolls increased by 218,000 last month as U.S. employers are likely to keep a solid pace of recruitment, employment returned to its previous-recession level .
Odds are followed closely a barometer health of the U.S. economy. A strong reading likely need to reassure Investors should note that the Federal Reserve will continue to decreasing its friendly monetary stimulus program of bullion, gold mining.
News By Economictimes
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