Gold Held in Tight Range; Investors Await Key US Economic Data

Published on Jul 06, 2023 13:45

Gold was trapped in extremely tight range today as investors awaited the release of array of crucial US economic data that could impact the Federal Reserve`s monetary policy decisions.

The US dollar came under selling pressure, with the dollar index falling below the 103 mark and trading at 102.94. The Japanese yen performed well against the USD, reaching 143.92, a decline of 0.51%, benefiting from improved business sentiment in Japan during Q2.

The minutes of the Fed`s June meeting indicated a unanimous decision to keep interest rates unchanged for the time being while assessing the need for future rate hikes. Federal Reserve Bank of New York President John Williams commented that maintaining steady rates was the right move, though he hinted at potential rate increases in the future.

In domestic markets, gold futures for August delivery in India saw a slight increase to Rs 58,513 per 10 grams. The commodity should continue to find resistance near Rs 58700 and 58900 levels. On the international front, Comex gold for the latest expiry contract traded at $1,925.90 per ounce, experiencing a minor decline.

Investors will closely watch the US Labor Department`s Job Openings and Labor Turnover Survey, along with other economic indicators.