In early Asian trading on Tuesday, gold prices increased. This came as investors turned their attention to Greece.
Investors are now focusing on the possible euro zone crisis as a result of Greece’s inability pay its sovereign debt obligations.
On Monday, international creditors from France, Germany and Greece worked hard to reach a deal before the deadline on the 5th of June when Greece is required to pay by $300 million to the IMF (International Monetary Fund).
Gold futures for delivery in August traded at $1,189.20 a troy ounce, up 0.04 percent on the Comex division of the NYMEX while silver for delivery in July traded at $16.737 a troy ounce, up 0.03%.
In other commodity trading, copper for delivery in July traded at $2.717 a pound, up 0.11 percent.
Meanwhile, overnight, gold futures rose marking the 4th session in the precious yellow metal’s winning streak. This came in response to stronger than expected data from the Institute of Supply Management (ISM) which pushed the U.S. dollar (USD) higher.
The ISM reported that its manufacturing index for the month of May increased to 52.8. This marked the highest level in 3 months while also beating analyst expectations of a reading of 52.7. Added to this, new orders also reached its highest reading of the year at 55.8.
In a separate report, data showed that construction spending increased in April by 2.2% which beat expectations for an increase of only 0.7 percent.
MT4 Chart: Gold
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