Gold weakness likely to persist; Support seen at $1930/$1900

Gold prices closed the week with a loss of 1.60% at $1945.74, with the US dollar index recording a weekly gain of about 1% to reach 104.23, and 10-year US yields at 3.79% on Friday. Mixed US data releases on 27 May were mostly positive for the dollar and negative for bonds and gold, with real personal spending showing strength at 0.50%. A debt ceiling deal between US policymakers remained possible ahead of the 6-9 June date, boosting macroeconomic sentiment and hitting gold.

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