Tuesday, November 24, 2015

investing in gold : Gold may test lower again on stronger US dollar

investing in gold : The price of gold remained relatively constant during the Asian trading hours on Tuesday, but the lowest level can test the previous day again should the US dollar continue to go up.

Gold was last at $ 1,070-1,070.40 per ounce, down $ 0.20 from Monday's close. And it ranged trading at $ 1,069.20-1,072.20 so far.

"There are a number of focal points for gold and is located near the low print yesterday of $ 1,066.65 and we may see this test again should the US dollar continues to trade an attempt to" MKS Group said on Tuesday morning.

MKS sees the last minimum of $ 1,063 being the first target of any other twice before February 2010 low $ 1,045 opens.

Analysts expect commodity prices to continue to be strongly influenced by the US dollar, which is expected to continue to climb amid economic data outlook more positive than the world's largest economy.

The US dollar fell again overnight but is expected to get the support of appropriate economic figures Tuesday, said Chinese metals research firm Shanghai Metals Market on Tuesday.

The US dollar index touched its highest level in eight months 100 on Monday. In the past 99.68 on Tuesday, up 0.05 percent from Monday's close.

GDP for the first, the trade balance of goods, initial GDP price index, CB consumer confidence and Richmond manufacturing index from the United States is scheduled for later today.

In data released Monday, said the United States flash manufacturing PMI disappointed at 52.6, as did sales of existing homes in 5.36 million.

Manufacturing was the flash French PMI as expected at 50.8 but PMI services flash 51.3 undershot. Manufacturing and services indicators flash German PMI at 52.6 and 55.6, respectively, both exceeded expectations, as did the EU flash manufacturing PMI at 52.8 and PMI services managers in flash 54.6.

It is also expected that the US dollar to climb further on the possibility of raising US interest rates in December this year. See the participants in the current market opportunity in 74 percent of the US rate of departure before the end of the year, according to the CME Group of FedWatch - a tool to gauge opinion on the market to raise interest rates

In stock, the Shanghai Composite Index is down until even 0.72 percent to 3,584.319 on Tuesday.

In other precious metals, silver fell $ 0.03 recently, even $ 14.05 / 14.10. Platinum fell $ 5 to $ 839/844, while palladium rose $ 1 to $ 538 / $ 543 so far on Tuesday.

On the Shanghai Stock Exchange, gold for June delivery was unchanged at 222.85 yuan per gram, while silver was flat in June 3213 yuan per kilogram.