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22 Jan 2015
Gold rises sharply in EUR terms on ECB’s balance sheet expansion efforts
FXStreet (Mumbai) - Gold prices rose sharply in EUR terms after the European Central Bank (ECB) announced fresh program to purchase public and private debt as a part of its balance sheet expansion effort.
The XAU/EUR pair or Gold in EUR terms traded 1.5% higher at EUR 1130.39/Oz levels, after having recovered from the low of EUR 1100.15 levels seen earlier today. Under the expanded asset purchase program, the ECB, along with the national central banks, shall begin purchasing public and private debt worth EUR 60 billion per month across the Eurozone nations. The unprecedented program shall continue till September 2016 and shall include purchases of debt with maturities 2-20 years. The EUR/USD pair fell to 1.14669 levels; down 1.21% trade for the day. Meanwhile, yields in Germany declined while the 10-yr yields in Italy and Spain hit record lows.
Gold (EUR) Technical Levels
The immediate resistance is seen at 1136, above which gains could be extended to 1150 levels. Meanwhile, support is seen at 1127.05 and 1105.95 levels.
The XAU/EUR pair or Gold in EUR terms traded 1.5% higher at EUR 1130.39/Oz levels, after having recovered from the low of EUR 1100.15 levels seen earlier today. Under the expanded asset purchase program, the ECB, along with the national central banks, shall begin purchasing public and private debt worth EUR 60 billion per month across the Eurozone nations. The unprecedented program shall continue till September 2016 and shall include purchases of debt with maturities 2-20 years. The EUR/USD pair fell to 1.14669 levels; down 1.21% trade for the day. Meanwhile, yields in Germany declined while the 10-yr yields in Italy and Spain hit record lows.
Gold (EUR) Technical Levels
The immediate resistance is seen at 1136, above which gains could be extended to 1150 levels. Meanwhile, support is seen at 1127.05 and 1105.95 levels.