Gold descends on stronger greenback

On Friday, gold prices edged down following positive US data issued in the previous trading session. It ensured support for the greenback, while the ECB left the door open for further stimulus steps.        

In New York, August delivery gold futures slumped 0.37%, trading at $1,326.05.

The August contract concluded Thursday’s trading session 0.89% higher, being worth $1,331.00 per ounce.

Futures were about to gain support at $1,312.80, Thursday’s minimum as well as resistance at $1,341.40, the peak from July 14.

Market sentiment strengthened moderately after Mario Draghi, ECB President told on Thursday that EU markets coped with the post-Brexit volatility, although reiterated that the EU’s major financial institution is ready to act by making use of all the available instruments if necessary.

The comments arose after the major bank left its benchmark interest rate intact at a record-minimum 0.0% in a widely expected move.

Separately, the greenback remained backed up after upbeat American data on Thursday enhanced optimism over the strength of the American economy.

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