Gold could decline to 1,920oz analyst
Volumes in SPDR Gold Shares highest since Oct
March 30 Reuters Gold prices reversed course to trade higher on Thursday, as a slightly softer dollar helped counter risk appetite fuelled by easing concerns about the global banking system.
Spot gold was up 0.3 at 1,968.89 per ounce, as of 0738 GMT. U.S. gold futures were unchanged at 1,984.70.
The dollar index eased 0.1, making bullion more affordable for buyers holding other currencies, while Asia39;s stock markets held recent gains.
In the short term, profittaking as well as reduced fears of further contagion amongst banks should see the gold price continue to decline back towards 1,920oz, said Michael Langford, director at corporate advisory firm AirGuide.
Gold rose above the 2,000 mark after the sudden collapse of two U.S. lenders earlier this month, but has since retreated from those levels as authorities stepped in with rescue measures, including UBS39; takeover of ailing Credit Suisse and First Citizens BancShares39; deal to buy failed Silicon Valley Bank.
However, the metal held up relatively well against the headwinds, analysts at ANZ said in a note.
Gold continues to see strong inflows in ETFs. Volumes in SPDR Gold Shares, the largest goldbacked ETF, have surged to their highest level since October, they said.
Market participants now await Friday39;s U.S. Personal Consumption Expenditures data, the Federal Reserve39;s preferred inflation measure, for further…