Gold Plummets Under $1200

Gold.....

MCX Gold futures dropped under Rs 25000 per 10-gram levels as the meltdown in the metal continued. The global prices tested their fresh three year lows and looked headed for further losses as $1200 per ounce mark gave up. Global markets were mixed but Gold continued to ease. The COMEX Gold futures gave up after a failed attempt to stay above $1200 in Asia and currently trades at $1193.40, down nearly 20 dollars on the day.

Euro gained from its three week low against the US dollar today as supportive data boosted the sentiments for the single currency. German retail sales were better than expected in May, as consumers returned to the shops after being kept away for months by the cold and rainy weather, data from the Federal Statistics Office showed Friday. Retail sales in May increased 0.8% from April, following three consecutive months of declines, beating economists' forecasts of a 0.3% drop in sales. The data are inflation-adjusted and also consider calendar effects.

The rise in sales comes as a robust labor market and buoyant consumer confidence boost households' spending prospects. German jobless claims in June dropped 12,000 on the month in seasonally adjusted terms, pushing down unemployment to its lowest level since December 2012, data from the country's BA labor agency showed Thursday. German consumer sentiment, meanwhile, is close to a six-month high, according to the GfK research institute.

The MCX Gold futures for August are quoting at Rs 24862, down around 25 on the day a massive rise of 10 % in open interest.
Source by Commodity Insights