Gold trades marginally higher in EUR terms
Frankfurt-Germany (Dec 5) Gold recovered losses to trade marginally higher in the EUR terms after the German Bundesbank revised growth forecasts lower for the current year, next year and for 2016.
Gold in EUR terms or XAU/EUR traded 0.04% higher at 974.10/Oz levels at the time of writing. The yellow metal recovered from the low of EUR 970.93/OZ levels after the Bundesbank said it sees German growth at 1.4% this year, from 1.9% predicted six months ago. The 2015 GDP was also downgraded to 1.0% from the previous forecast of 2.0%, while the 2016 forecast was revised lower to 1.6% from 1.8%.
Moreover, the Bundesbank’s forecasts overshadowed the preliminary Eurozone Q3 GDP, which printed in-line with the expectation at 0.8% year-on-year.
Gold (EUR) terms
Gold has an immediate resistance at 977.53 (Dec 1 high), above which gains could be extended to 982.00 levels. Meanwhile, support is seen at 970.00 and 963.85 (Oct 17 low).