Gold Prices Drop Ignoring US$ Weakness

Gold Prices Drop Ignoring US$ Weakness

Gold prices fell during the US session ignoring weaker US dollar index for the sixth consecutive session, according to the inverse relationship between them following the developments and economic data that Tbanha Thursday for the largest economy in the world, which showed lower jobless claims to their lowest level since 2000 in addition to the breadth Hakagua index managers of the US economy Procurement images exceeded expectations during April, while no personal income and personal spending data for elevate expectations during March last.

Promptly at 8:32 pm GMT, futures for gold delivery June 15 fell to 1,181.66 $ per ounce compared with the opening levels at 1,205.16 $ an ounce after that was lowest at 1,1177.06 $ per ounce and higher during the day’s trading at 1,205.16 $ per ounce .

On the other level fell US dollar index against six major currencies, especially the single currency for the euro zone, which weighs more than half of the index as well as the Swiss franc, Japanese yen, pound sterling, krone Swedish, Canadian dollar, currently trading at 94.89 levels compared at 95.23 after that achieved the lowest level during the trading session at 94.47, while achieved its highest at 95.54.

This has followed the issuance of the US economy read personal income stable at zero levels Atvaa versus 0.4% in February, below expectations at 0.2% rise, as were read personal spending rose 0.4% versus 0.2% in the previous monthly reading also below expectations when the rise 0.5%, while jobless claims were read for the week elapsed on 25 April / April at about 262 thousand applications for about 296 thousand applications in the previous weekly reading, other than forecast at about 290 thousand applications.

In the same context has made it clear reading continuing jobless claims for the week elapsed on 18 April , down about 2,253 thousand, compared to 2,327 thousand applications other than forecast at about 2,300 thousand applications, and read the Chicago PMI showed a widening to $ 52.3 compared to a contraction of what worth 46.3 last March, outperforming the expectations at 50.1 worth, knowing that read higher than the value of 50 points to widen, while reflecting the index reading below 50 contraction.

It is worth mentioning that monetary policy makers at the Fed have expressed through the FOMC meeting of the Open Market April 28 to 29 on Wednesday for a slower pace of growth of the US economy during the middle of winter to emphasize that the weakness of the largest economy in the world is the result of some temporary factors that will fade later in conjunction with the disclosure of the decision the Fed to keep interest rates between stability at zero levels and the percentage of 0.25% and the emphasis on the adjournment for the first time in 2006 at a later time of the year 2015 on condition continued to improve working and “reasonable confidence” about the market recovery rates of inflation to the targets of the Federal Reserve over the medium term ..

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