Gold Price Analysis: XAU/USD climbs above $1,760 after US data dump
- Gold rises into the positive territory in the early American session.
- USD weakens modestly following the US data dump.
- Real GDP in the US contracted by 5% in the first quarter.
The XAU/USD pair snapped its three-day winning streak and closed in the negative territory on Wednesday. After spending the majority of the day moving sideways below $1,760, the pair gained traction in the early trading hours of the American session and was last seen rising 0.3% at $1,766.
Risk-off flows dominate markets on Thursday
The data published from the US showed that Durable Goods Orders rose by 15.8% in May and surpassed the market expectation for an increase of 10.6%. Moreover, the Bureau of Economic Analysis kept the first-quarter GDP unchanged at -5% in its third estimate as anticipated. Finally, the weekly Initial Jobless Claims arrived at 1.48 million for the week ending June 20th.
Following these data, the US Dollar Index (DXY) lost its traction and erased a small portion of its daily gains. At the moment, the DXY is up 0.21% at 97.42. Meanwhile, Wall Street's main indexes remain on track to open the day in the negative territory, suggesting that risk-aversion is likely to remain the main market theme during the American session.
Later in the day, there won't be any other macroeconomic data releases featured in the US economic docket. Atlanta Fed President Raphael Bostic is scheduled to deliver a speech at 1500 GMT.
Technical levels to watch for
Author
Eren Sengezer
FXStreet
As an economist at heart, Eren Sengezer specializes in the assessment of the short-term and long-term impacts of macroeconomic data, central bank policies and political developments on financial assets.
