Gold Rallies Back Above $1220 as Greek Debt Drama Unfolds

Gold edged higher on Thursday, after earlier dropping to a five-week low, as confusion over Greece’s debt negotiations with its European lenders dominated markets, drumming up some safe-haven bids for the metal.

Spot gold fell to $1,216.45 an ounce, its lowest since Jan. 9, before recovering to trade up 0.2 percent at $1,220.60 by 0046 GMT.  The metal lost 1.2 percent on Wednesday as the dollar hit a three-week peak against a basket of major currencies on weakness in the euro and the yen.

Euro zone finance ministers were unable to agree with Greece a final statement or a way to continue talks until their next meeting on Monday, following hours of discussions in Brussels to extend an international bailout.

CNBC

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