MARKET RECAP
Spot Gold prices traded on a volatile note on Tuesday but closed in the green towards the end of the trading session. The yellow metal prices rebounded after touching an intra-day low of $1226/oz as risk aversion in the financial markets increased demand for gold as a safe-haven investment. SPDR, the world’s largest ETF backed by Gold reported that its gold holdings reached new record high of 1320.436 metric tons as on June 29th. Last week it had reported holdings of 1316.177 metric tons as on June 24th.
OUTLOOK
Gold prices will continue to gain as investors remain susceptible over the global economic situation. The Eurozone concerns coupled with poor economic data from the US is haunting investor sentiments towards riskier assets. This will make the Gold prices attractive as the yellow metal is treated as a safest investment in turbulent times.
On intraday basis, Spot Gold prices have immediate support at $1237/$1229 whereas resistance is seen at $1247/$1255. Spot Silver prices shall find support at $18.29/$18.12 whereas resistance is seen at $18.69/$18.92 levels.
