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Gold hits fresh one-week lows, US data eyed for fresh impetus

   •  Surging US bond yields continue to weigh.
   •  Risk-on mood fails to lend any support. 
   •  Now seems vulnerable to slide further.

Gold held with modest losses through the early European session on Thursday and is currently placed at one-week lows, around $1282 region.

The precious metal lost over 1% on Wednesday following an upward revision of the US Q3 GDP growth figures, which extended some support to the US Dollar and prompted some fresh selling around dollar-denominated commodities - like gold. 

Shortly after the release of upbeat macro data, the outgoing Fed Chair Janet Yellen's bullish economic outlook triggered a sharp upsurge in the US Treasury bond yields and further drove flows away from the non-yielding commodity. 

With the greenback struggling to build on overnight modest gains, a follow-through pickup in the US bond yields continued exerting some downward pressure on Thursday.

Today's modest downfall could also be attributed to some technical selling, especially after yesterday's break below 100-day SMA support near the $1285 region. Hence, an extension of the weaker trend back towards $1275 support area, amid fading safe-haven demand, now seems a distinct possibility. 

Later during the NA session, the US economic docket, featuring the release of core PCE price index, personal income/spending data, usual initial weekly jobless claims and Chicago PMI, might help grab some short-term trading opportunities.

Technical levels to watch

Immediate support is pegged near the $1275 region, below which the downslide could further get extended towards $1270-69 support en-route Oct. monthly lows support near the $1260 level. 

On the flip side, any recovery attempts back above the $1285 region (100-day SMA) might now confront resistance near $1289 level, which if cleared could lift the metal back towards $1293-94 supply zone.

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