Spot gold prices are trading just above unchanged levels Wednesday after ending flat the previous day. Spot gold ended Tuesday’s session $0.60 lower at $1774.70/oz with prices failing to make an impression beyond Monday’s high of $1791.20, the highest level seen since last November. Some sluggish physical demand for the precious metal is pinning prices in a holding pattern after some recent gains posted from the stimulus fever provided by the US Federal Reserve last month. Gold prices are attempting to consolidate amid the absence of a fresh catalyst, with many market participants awaiting further developments for the path that will be taken surrounding Spain’s bailout plan, now centre stage of the ongoing Eurozone debt crisis, after the country’s PM Mariano Rajoy denied a report of an imminent request for a bailout. Spot gold prices have been tied to a narrow range so far this morning, edging higher from lows of $1771.35 to an intra-day high of $1775.50/oz. Metals brokers report limited flow so far, with reports of a South Asian reserve manager showing some buy interest early on. Gold last $1774.40.
EasyForexNews Research Team