Gold escapes from its six-month low, geopolitical tensions still supports

Gold slips

Gold slips away from its six-month low on Tuesday as bargain hunting is guaranteed to happen. The bullion was also supported by the falling of the U.S. dollar just ahead the address from U.S. Federal Reserve officials.

U.S. Federal Reserve Chair Janet Yellen had a speech in London’s British academy on the same day, Philadelphia Fed President Patrick Harker addresses also in the same place just two hours following Yellen’s. Before that, the U.S. currency slid 0.63 percent versus its major opposing currencies. This makes gold, which is priced with dollar, low-priced for holders outside the United States.

MKS noted that it would be appealing to witness if gold prices can further rise today. The bullion has been continuously growing each month this 2017. The one responsible for gold’s good performance was the rising political tensions worldwide; this includes the Brexit negotiations, President Trump’s policies and the recent bailout of banks in Italy.

U.S. gold futures added as much as 50 cents to finish at $1,246.90 an ounce for its August delivery. Spot gold edged higher by 0.34 percent to trade at $1,248.23, it was close to touch its ix-week low of $1,236.46 an ounce last Monday.

Despite the fact that the yellow metal greatly failed to break under the 200-day moving average, it was dragged down to its six-month low due to a big sell order that totalled more than 1.85 million ounces last Monday. Analyst form ABN Amro Georgette Boele said it’s a good sign that gold was not able to push under the 200-day moving average on the previous day.

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