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28 Jan 2015
Gold struggles above USD 1290 ahead of FOMC
FXStreet (Mumbai) - Gold prices on Comex edged lower in the Asian morning, as the US dollar regained strength ahead of US Fed policy decision.
Currently, gold trades lower by -0.10% at 1291.60 levels, pulling away from intraday lows of 1289.40 levels hit earlier in the session. Gold prices rallied close to 1300 levels in the US last session after weak US macro data coupled with disappointing US corporate earnings results dragged the US dollar lower by about 1%.
Now, investors are waiting for the Federal Open Market Committee to conclude its two-day meeting that began on Tuesday in Washington. Markets view that the Fed is likely to reiterate that they will be patient when it comes to the upcoming interest rate normalization which in December Chair Janet Yellen explained means no hike at least until April.
Gold Technical Levels
The metal has an immediate resistance at 1300 and 1320 levels. Meanwhile, support stands at 1287 levels below which doors could open for 1273 levels.
Currently, gold trades lower by -0.10% at 1291.60 levels, pulling away from intraday lows of 1289.40 levels hit earlier in the session. Gold prices rallied close to 1300 levels in the US last session after weak US macro data coupled with disappointing US corporate earnings results dragged the US dollar lower by about 1%.
Now, investors are waiting for the Federal Open Market Committee to conclude its two-day meeting that began on Tuesday in Washington. Markets view that the Fed is likely to reiterate that they will be patient when it comes to the upcoming interest rate normalization which in December Chair Janet Yellen explained means no hike at least until April.
Gold Technical Levels
The metal has an immediate resistance at 1300 and 1320 levels. Meanwhile, support stands at 1287 levels below which doors could open for 1273 levels.