FXstreet.com (Barcelona) - The gold bullion has returned to the opening price, after recording a fresh all-time at $1254.50 in recent hours. Currently the gold contract for August is trading in at $1242.60 a troy ounce where it still remains strong on active safe-haven demand.
The yellow metal was supported higher this morning as overall investor sentiment fell due to a slew of disappointing data releases over the euro zone. What’s more, there seems to be a general uncertainty reverberating through the marketplace regarding the strength of the global economic recovery after Friday’s inadequate jobs reports from the US. Even though the labor market added more jobs than any time since 2000, the private sector job growth was nowhere near levels expected leaving investors downtrodden over the near-term outlook.
In an effort to shore up confidence however, Fed Chairman Ben Bernanke last night made public his doubt in a double dip recession and noted unemployment will most likely lag behind other positive growth factors. The commentary seems to have helped to shore up slight confidence, with US stock futures showing modest gains upon opening bell and gold dipping lower in anticipation of relatively higher risk appetite.
