Gold Stays Steady in Asia

Gold....

Gold futures stayed steady above $ 1570 an ounce in Asia electronic trades today taking cues from the higher equities and oil futures. This week, gold traders will be hooked on interest rate decisions by the European Central Bank, the Bank of England and the Bank of Japan. To add more the Friday’s data on U.S. nonfarm payrolls will also be closely watched. Asian markets rebounded Tuesday as a higher finish on Wall Street helped sentiment a day after most regional equities suffered a sell-off, with Japanese stocks extending gains on hopes for further monetary easing under a new central bank chief. Mainland Chinese stocks advanced in choppy trading as the National People’s Congress — the country’s parliament — began its annual session, although property developers fell further under the lingering influence of fresh restrictions imposed on the sector late last week. Gold for April delivery is trading up $5.4 at $1577.8 an ounce on the Comex division of the New York Mercantile Exchange. On Monday it ended higher by $0.10 or 0.1%, to settle at $1,572.4 an ounce. On the data front today, The Reserve Bank of Australia on Tuesday left its benchmark interest rate unchanged at 3%, as widely expected, saying that benign inflationary conditions give the central bank room to further loosen its policy, if required. "The Banks assessment remains that inflation will be consistent with the target over the next one to two years," Gov. Glenn Stevens said, according to a statement accompanying the central banks decision. An Australian service-sector gauge rose to its highest level in nine months in February, adding to signs that nonmining sectors of the economy are responding to more than a year of steep central bank interest-rate cuts. The Australian Industry Group-Commonwealth Bank of Australia Performance of Services Index rose 3.1 points from January to 48.5. A reading below 50 denotes a contraction. Meanwhile, Chinas 7.5% economic growth target for this year is "fairly conservative," and the worlds second-largest economy will likely expand more quickly than that, Li Daokui, an influential academic and former adviser to the Peoples Bank of China, said Tuesday. MCX April delivery gold futures may open today’s session near Rs 29750 levels with resistance near Rs 29810-40 levels. Yesterday, it closed lower by Rs 72 at Rs 29,668 per ten grams. Prices rose to a high of Rs 29,770 per 10 grams and fell to a low of Rs 29,606 per 10 grams during the days trading. Source by Commodity Insights