Gold marks its fifth straight session gain
Bullion prices ended higher on Tuesday, 24 June 2014 at Comex. Gold prices settled higher on Tuesday to mark their fifth straight session gain and hit a 10-week high overnight. Safe-haven demand and a much-improved technical posture in gold recently are fueling upside price pressure.
Gold for August delivery edged up by $2.90, or 0.2%, to settle at $1,321.30 an ounce on the Comex division of the New York Mercantile Exchange. It has now tallied a five-session gain of roughly $49 an ounce, or nearly 4%.
July silver gained 13 cents, or 0.6%, to end at $21.04 an ounce.
There was a heavy slate of U.S. economic data released on Tuesday, including the S&P/Case-Shiller home price index, the monthly house price index, new residential sales, the Richmond Fed business survey, and the consumer confidence index. However, these reports were not big markets-movers.
The S&P/Case-Shiller's 20-city composite index indicated home prices rose 1.1% in April. A gauge of consumer confidence rose to 85.2 in June, the highest level since January 2008 and new homes sold at an annual rate of 504,000 in May to mark the fastest increase in six years.
In other news Tuesday, the German Ifo consumer sentiment survey came in weaker than expected. The Ifo reading was 109.7 in June versus 110.4 in May. A figure of 110.2 was expected. Worries about the Iraq and Ukraine crisis weighed on German consumer sentiment. The downbeat Ifo report adds more weight to the notions that the European Union's economy remains in serious trouble. This is also an underlying supportive factor for the safe-haven gold market.
The civil war in Iraq remains a market factor. However, it's likely the Iraqi crisis will not go away and could escalate at any time.
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