Investing.com - Gold futures rose modestly in the early part of Asia’s Monday session following a glum performance to end last week.
On the Comex division of the New York Mercantile Exchange, gold futures for February delivery added 0.2% to trade up to USD1,663.85 per troy ounce in Asian trading Monday. In U.S. trading Friday, gold slumped 0.9%.
Gold prices were likely to find support at USD1,626.05 a troy ounce, the low from January 4 and resistance at USD1,680.95,the high of December 30.
Late last week, gold futures were supported by the European Central Bank leaving interest rates unchanged at 0.75%. Successful auction of Italian and Spanish debt breathed some life into the euro. Despite the risks carried by Italian and Spanish debt, investors seem to be attracted to the yields on those bonds and that appetite for risk allows the embattled Eurozone economies to reduce borrowing costs, bolstering the common currency and gold in the process.
For the week ahead, U.S. economic reports due out housing starts numbers and the Philadelphia Federal Reserve factory activity index due out on Thursday and the Thomson Reuters/University of Michigan consumer sentiment number slated to be released Friday.
Investors will be anticipating a speech by Fed Chairman Ben Bernanke on monetary policy and the recovery from the global financial crisis on Monday.
Disappointments on any of those economic fronts could snap gold of its frustrating consolidation seen over the past several weeks and lead to some safe-haven buying.
Conversely, a slew of marquee fourth-quarter earnings reports are due to be reported this week in the U.S. and that could have traders focusing more on stocks than the debt ceiling debate. The heavier focus on equities could reduce volatility in gold over the next several days.
Elsewhere, Comex silver for March delivery rose 0.65% to USD30.605 per ounce while copper for March delivery climbed 0.38% to USD3.672 per ounce.
On the Comex division of the New York Mercantile Exchange, gold futures for February delivery added 0.2% to trade up to USD1,663.85 per troy ounce in Asian trading Monday. In U.S. trading Friday, gold slumped 0.9%.
Gold prices were likely to find support at USD1,626.05 a troy ounce, the low from January 4 and resistance at USD1,680.95,the high of December 30.
Late last week, gold futures were supported by the European Central Bank leaving interest rates unchanged at 0.75%. Successful auction of Italian and Spanish debt breathed some life into the euro. Despite the risks carried by Italian and Spanish debt, investors seem to be attracted to the yields on those bonds and that appetite for risk allows the embattled Eurozone economies to reduce borrowing costs, bolstering the common currency and gold in the process.
For the week ahead, U.S. economic reports due out housing starts numbers and the Philadelphia Federal Reserve factory activity index due out on Thursday and the Thomson Reuters/University of Michigan consumer sentiment number slated to be released Friday.
Investors will be anticipating a speech by Fed Chairman Ben Bernanke on monetary policy and the recovery from the global financial crisis on Monday.
Disappointments on any of those economic fronts could snap gold of its frustrating consolidation seen over the past several weeks and lead to some safe-haven buying.
Conversely, a slew of marquee fourth-quarter earnings reports are due to be reported this week in the U.S. and that could have traders focusing more on stocks than the debt ceiling debate. The heavier focus on equities could reduce volatility in gold over the next several days.
Elsewhere, Comex silver for March delivery rose 0.65% to USD30.605 per ounce while copper for March delivery climbed 0.38% to USD3.672 per ounce.