Gold at $1293 Hindered by Contradicting Factors

Gold prices settled slightly higher on Monday as the dollar slipped, but strong U.S. economic data capped the metal’s gains.  Platinum group metals extended gains after posting their strongest weekly performance in six on supply worries due to strikes at South African mines.

U.S. gold futures for June delivery ended 40 cents higher at $1,293.80 an ounce, having earlier touched a session high of $1,305.70 an ounce.  Spot gold rose 0.8 percent to $1,293 an ounce, recovering after two consecutive sessions of losses.

“There are contradicting factors keeping the gold market in the current narrow trading range … you have a softer dollar and political tensions like the Ukraine conflict on one side,” Commerzbank analyst Carsten Fritsch said.


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