Gold futures lower as dollar gains ground
Gold futures tested former resistance at the $1,200 level in today’s trading and ended the day down 0.9%, as the contract for February 2017 settlement on the COMEX division of the New York Mercantile Exchange closed at $1201.20/oz.
Strength in the dollar put pressure on gold futures in yesterday’s trading following the bell. Exchange rate us to aud The dollar was boosted at 15:00 ET by hawkish comments from Federal Reserve Chair Janet Yellen. Definition of binary Ms. Market value of futures Yellen, who was speaking from San Francisco, stated that waiting too long to raise interest rates could spark the “nasty surprise” of inflation. Binary search c program Thus, “waiting too long to begin moving toward the neutral rate could risk a nasty surprise down the road – either too much inflation, financial instability, or both.” She was overall optimistic about the economic outlook for the U.S.
Gold futures fell as her comments hit the wires, falling from a close at $1,212.10 down to $1,202. Dollar euro exchange rate history While the contract stabilized upon reaching the $1,197 level and attempted to gain ground off the low, another wave of selling began at 08:30 ET today following the release of a batch of strong U.S. Gbp to usd graph data.
The U.S., the Department of Labor said initial jobless claims for the week ending January 14 fell by 15,000 to 234,000 from the previous week’s total of 249,000. 1 usd to bdt Analysts expected jobless claims to come in at 252,000.
In a separate report, the U.S. Today’s stock market futures Commerce Department said Housing Starts increased by 11.3% to a seasonally adjusted annual rate of 1.226 million units in December, beating expectations for a rise to 1.193 million units. Is the futures market open The growth in Housing Starts was driven by a 57.3% increase in multi-unit starts. Usd to brl Building Permits decreased by 0.2% to a seasonally adjusted annual rate of 1.210 million units in December, versus expectations for 1.217 million units.
Finally, the Philly Fed manufacturing index rose to 23.6 for January from 19.7 (revised from 21.5) in December, compared to expectations for a rise to 15.3. Learn binary code The data suggests that manufacturing in the Philadelphia Fed region expanded at strong pace to kick off the year. Dollar exchange rate calculator The dollar erased early losses following the data and is currently trading at 101.41 up 0.12%.
The risk of a pullback in gold futures has been high in recent sessions, given the overbought condition which has been a factor since early January.
Funny quotes with pictures for facebook The contract has gained more than 7% from the December closing low, thus a period of correction or consolidation is warranted. Us stock market futures index And, with the Stochastic producing a downside cross in yesterday’s session and still at an elevated level, the path of least resistance heading into the end of the week remains to the downside.
Below the $1,200 level, the next level of support is at $1,182, which represents a 38.2% retracement of the advance from the December low. Live pound to euro exchange rate Next, very minor support stands at January 11’s low at $1,177, followed by the 50% retracement level at $1,171.
Despite the potential for a further pullback over the near term, the broader bias for gold futures remains to the upside, given the increase in open interest which has accompanied the advance from the December 23 closing low. Binary conversion From that level through Tuesday’s close, open interest is up more than 15%, suggesting that new money entering the market has driven the advance, rather than short-covering. Stock market futures prices Rallies driven by short-covering typically prove unsustainable, while rising open interest is a bullish sign. Cnn money futures market February 2017 Gold Daily Chart