Firm Dollar hits US Gold Scrap, Gold Futures prices

UNITED STATES July 02 2015 4:35 PM

NEW YORK (Scrap Register): United States gold scrap prices dropped in line with gold futures prices at New York Mercantile Exchange on Thursday with the dollar stronger on the Greek debt crisis and bullion investors waiting for key US economic data later in the session for cues.

The major gold scrap commodities on the Scrap Register Price Index traded lower on Wednesday. The 9ct hallmarked gold scrap prices declined to $425.951 an ounce and 14ct hallmarked gold scrap prices dropped to $664.484 an ounce. The 18ct hallmarked gold scrap and 22ct hallmarked gold scrap prices also traded lower at $851.902 ounce and $1040.457 an ounce respectively.

As per Scrap Register Price Index, the 9ct non-hallmarked gold scrap prices dropped to $402.897 an ounce and 14ct non-hallmarked gold scrap prices down to $628.52 an ounce on Wednesday. The 18ct non-hallmarked gold scrap and 22ct non-hallmarked gold scrap prices are also traded down to $805.794 an ounce and $984.144 an ounce respectively.

The most active August gold contract on the COMEX division of the New York Mercantile Exchange last traded down $1.70 at $1,170.10 an ounce on Wednesday.

Gold futures prices at New York Mercantile Exchange settled down as the dollar strengthened and hopes for progress in the Greek crisis revived after the country told international creditors Athens could accept their bailout offer if some conditions were changed.

The Greek situation has failed to spark robust safe-haven bids for gold, with bullion investors still focused on an expected increase in U.S. interest rates after more strong economic data.

There is scope for the Greek crisis to drive more risk-averse money into gold if it worsens to the point where Greece leaves the euro zone, or if there is contagion into other economies in the bloc, such as Italy, Portugal or Spain.