Futures Market News
Gold futures edge down as Greece prepares for aid package
Jun 30, 2011 05:57 AM
Preoccupations about Greece becoming the first euro zone nation to default have minimized after the nation's leaders approved the prime minister's plan to secure another tranche of emergency bailout aid. The precious metal is driving toward its 11th straight quarter of gains.
"Risk sentiment improved after the Greek parliament approved the austerity measures," states a Thursday report by analyst Stefan Graber of Credit Suisse Group. "This helped the euro to strengthen against the dollar, which in turn attracted fresh investor interest into precious metals."
At 6:23 a.m. on Thursday, gold futures increased 0.08 percent, a $1.20 climb to $1,511.60 per troy ounce.
The International Business Times reports Greek approval benefits the euro's value against the U.S. dollar, which in turn pushes up the price of gold. The dollar will continue enduring pressure while gold and additional commodities will gain in value.
These are rough days for the dollar, which has dropped in value for four straight sessions. Gold futures have climbed 6.5 percent thus far this year.
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