Gold Futures Lagging on Greek Debt Restructuring & US Data

Gold futures are down for the fourth straight trading session after mixed-signals with the US economy and the unfolding of the Greek debt crisis. Gold futures are down $2.70 per ounce currently at $1,144.70 at the Commodity Exchange in New York.

Gold – usually viewed as a “safe-haven” for investors amid inflation and world instability – has been lagging despite the sluggish economy in China, the Greek debt crisis becoming larger, and the recent deal on Iran’s nuclear ambition. Here in the US the Federal Reserve Chairwoman, Janet Yellen, is said to be sending indications that current domestic conditions may likely justify hiking-up interest-rates, however the stronger dollar, recent initial jobless claims, and even manufacturing data are all unclear.

You would think the world instability in and of itself would be enough for gold (futures) to be trending higher,” said Barb Levy, chief director for The Fox Group’s futures division in Chicago, regarding the fundamental assessment of the gold futures markets. Levy added, With gold at its year-to-date bottom, it may take a lot more ‘surprising’ news to change its direction.”

The trend for gold futures is down with no bottom yet in sight. A bounce higher in gold futures is becoming overdue in my opinion.

ALL COMMENTARY IS CONSIDERED OPINION & VIEWS FROM THE AUTHOR AND NOT A SOLICITATION OF ANY SECURITIES. THE RISK OF LOSS IN TRADING COMMODITY INTERESTS CAN BE SUBSTANTIAL. YOU SHOULD THEREFORE CONSIDER WHETHER SUCH TRADING IS SUITABLE FOR YOU IN LIGHT OF YOUR FINANCIAL CONDITION.