(RTTNews) - The price of gold moved back to a two-week low Friday morning amid a latest twist in the Greek debt drama.
European finance ministers held back the 130 billion-euro rescue asking Greek policy makers to pass the latest austerity package into law.
Gold for April delivery, the most actively traded contract, were down $18.40 to $1,722.80 an ounce. Yesterday, gold ended higher as the dollar slumped against most major currencies after Greek politicians agreed to an austerity deal for a second bailout package from international lenders.
Holdings of SPDR Gold Trust, the world's largest gold-backed exchange-traded fund, moved up to 1,278.34 tons from 1,277.13 tons.
This morning, the U.S. dollar was leveling off from its 2-month low versus the euro and a 3-month low against sterling. The buck was moving higher versus the yen and trading flat against the Swiss franc.
In economic news, Germany's inflation, as measured by the EU methodology, remained steady at 2.3 percent in January, unrevised from the flash estimate, a report from the Federal Statistical Office showed. Month-on-month, the indicator dipped 0.5 percent.
Meanwhile, the UK's output price inflation eased in January to the lowest level since November 2010, the Office for National Statistics said. Output prices for home sales of manufactured products rose 4.1 percent year-on-year in January, compared to a rise of 4.8 percent in the previous month.
Elsewhere, the prices of silver and platinum were ticking lower in morning deals.
From the U.S., the trade gap data for December is due out at 8:30 a.m. ET. Economists estimate the gap to remain unchanged at $47.8 billion in the month.
Later during the session, the preliminary report of the Reuters and the University of Michigan's consumer sentiment survey for February is scheduled to be released. The consumer sentiment index is expected to edge down to 74.3 from 75 reported in January.
