Gold flat as stronger dollar offsets impact of mixed US data
CNBC - May 11, 2015
Gold fell on Monday as the impact of a rebounding dollar, over talks between Greece and euro zone finance ministers, was offset by mixed U.S. data supporting bets the Federal Reserve will not raise rates until late 2015.
Spot gold was down 0.3 percent at $1,187.50 an ounce, after posting a modest weekly fall in the previous week. U.S. gold futures for June delivery settled down $5.90, at $1,183.00 an ounce.
The dollar rebounded 0.2 percent versus a basket of currencies, mostly due to euro weakness as Greece, which must repay a 750 million euro ($837 million) loan to the International Monetary Fund on Tuesday, faces the risk of defaulting and being forced out of the euro zone.
"We are seeing the first signs that the dollar correction we have seen for a few weeks may have run its course for now, and that attracts some attention to the downside," Saxo Bank senior manager Ole Hansen said.
"People may be worried about Greece, but at the same time they are not prepared to take investment decisions based on that."
