Gold down following reversal in U.S. stocks

                Gold futures are trading slightly lower in the early part of Tuesday’s Asian session after a sharp reversal in U.S. stocks Monday chased investors toward riskier assets. 

On the Comex division of the New York Mercantile Exchange, gold futures for June delivery fell 0.07% to USD1,571.45 per troy ounce in Asian trading Tuesday after settling down 0.23% at USD1,572.35 a troy ounce in U.S. trading on Monday. 

Gold futures were likely to test support USD1,539.85 a troy ounce, Thursday's low, and resistance at USD1,582.85, the earlier high. 

The yellow metal fell victim to some profit taking during Monday’s U.S. session after surging last Friday after the U.S. Labor Department reported that the world's largest economy added 88,000 nonfarm payrolls in March, well below expectations for a gain of 200,000 and below the 268,000 jobs added in February. 

While gold is off to a miserable start this year, some traders see reasons for optimism, particularly if futures can hold above long-term support at USD1,525 per troy ounce. Recent data from the Commodity Futures Trading Commission indicate professional traders and other market participants have been scaling back their bearish bets on bullion. 

Elsewhere, the U.S. state of Arizona is pushing to have gold and silver used as legal tender. Utah made a similar move in 2011 to have gold used as an everyday currency. More than a dozen other U.S. states are considering similar action due in large part to disagreements with the Federal Reserve’s ultra-loose monetary policy. 

Meanwhile, Comex silver for May delivery is up 0.06% at USD27.153 per ounce while copper for May delivery is higher by 0.33% at USD3.384 per ounce.
Courtesy :investing.com