MTECHTIPS:-Gold holds steady as investors brace for Greece default on debt payments
Gold prices held steady in early Asia on Tuesday as investors braced for volatile trade as the final day of Greece’s current debt bailout package arrives with a new deal nowhere in sight and wide expectations of defaulting on payments due. A last-minute series of phone calls and offers failed to reach a breakthrough on Greece’s debt package by early Tuesday in Asia, setting the stage for volatile markets. Talk swirled about the outcome of a planned July 5 referendum with Greece’s Prime Minister Alexis Tsipras hinting Monday he might resign if the Greek people vote in favour of the creditors’ proposal. “If the (Greek) people vote yes, then the referendum outcome will be completely respected but I will not serve it,” Tsipras said in a television interview. “I’m not an all weather prime minister. I will respect the verdict and prepare the ground as outlined by the constitution and the parliament.” Earlier in the day on Monday, President Barack Obama spoke to France’s President Francois Hollande, urging renewed efforts to reach a deal, and then European Commission President Jean-Claude Juncker reportedly made a refined proposal that was rejected by the Greek government with the current bailout due to expire June 30 and no extension on offer On the Comex division of the New York Mercantile Exchange, gold for August delivery held mostly steady, up 0.01% at $1,179.10 a troy ounce. Silver for September delivery rose 0.19% to $15.725 a troy ounce. Copper for September delivery was flat at 2.632 a pound. Overnight, gold futures inched up on Monday, amid growing possibility of a Greek default and subsequent departure from the euro following a tumultuous weekend of negotiations with its international creditors.