MTECHTIPS

MTECHTIPS:-Gold, silver futures edge lower; Bernanke testimony in focus

 Gold and silver futures were lower during European morning trade on Thursday, a day after rallying to one-month highs, though further upside was seen as investors hung on to hopes for action by global central banks and other authorities to stimulate growth and boost the world economy.On the Comex division of the New York Mercantile Exchange, gold futures for August delivery traded at USD1,625.25 a troy ounce during early European trade, slumping 0.55%. It earlier fell by as much as 0.85% to trade at a session low of USD1,618.85 a troy ounce. Prices touched USD1,642.15 on Wednesday, the highest since May 7.Gold futures were likely to find support at USD1,546.35 a troy ounce, the low from June 1 and near-term resistance at USD1,647.85, the high from May 4.Gold prices rose to a one-month high on Wednesday, amid growing speculation the Federal Reserve will consider more action to stimulate growth in the U.S.Hopes for such action were lifted by comments from Fed Vice chair Janet Yellen, who said in a speech Wednesday that the central bank could further ease monetary conditions in response to ongoing housing problems, a weak jobs market and the escalating euro zone crisis.“I am convinced that scope remains for the FOMC to provide further policy accommodation,” Yellen said.Her comments came after Atlanta Federal Reserve President Dennis Lockhart said that sustained weakness in the job market could justify more action to support the economic recovery.