US Gold Scrap prices drop further in line with Gold Futures

UNITED STATES July 15 2015 6:11 PM

NEW YORK (Scrap Register): United States gold scrap prices dropped further on Tuesday in line with gold futures prices at New York Mercantile Exchange on the back of the Greek debt deal and a firmer dollar.

The major gold scrap commodities on the Scrap Register Price Index traded lower on Tuesday. The 9ct hallmarked gold scrap prices rose to $421.004 an ounce and 14ct hallmarked gold scrap prices declined to $656.767 an ounce. The 18ct hallmarked gold scrap and 22ct hallmarked gold scrap prices also down at $842.008 ounce and $1028.373 an ounce respectively.

According to Scrap Register Price Index, the 9ct non-hallmarked gold scrap prices dropped to $398.218 an ounce and 14ct non-hallmarked gold scrap prices down to $621.22 an ounce on Tuesday. The 18ct non-hallmarked gold scrap and 22ct non-hallmarked gold scrap prices are also traded down to $796.436 an ounce and $972.714 an ounce respectively.

The most active August gold contract on the COMEX division of the New York Mercantile Exchange last traded down by $2.10 at $1,153.30 an ounce on Tuesday.

Gold futures prices at New York Mercantile Exchange settled lower after disappointing economic data from the U.S. with retail sales for June dropped unexpectedly.

Gold prices were also impacted after an historic deal on Iran's nuclear program was reached earlier today in Vienna following some lengthy negotiations between Tehran and the West.

In disappointing economic news, U.S. retail sales unexpectedly declined in June, after a sharp jump in sales the previous month. In a landmark agreement with five world powers, Iran said it would limit its nuclear ambitions for ten years in exchange for lifting some sanctions.

The precious metal's safe haven appeal also diminished after a weekend deal was reached to rescue Greece yet again. The agreement still needs to be approved by the Greek Parliament, even as Prime Minister Alexis Tsipras appealed to lawmakers to support the deal to get the much-needed bailout aid from its eurozone creditors.

(This article is researched and compiled by Vibin Antony on behalf of Scrap Register. Send in your suggestions and comments to editor@scrapregister.com)