Gold futures lower as risk-off mood lingers

HONG KONG(MarketWatch) -- Gold futures traded weaker in early afternoon hours in east Asia, ahead of euro zone economic growth data for the first quarter and as the spotlight turns back to Greece and whether Athens will make a crucial debt repayment. Gold for June delivery dropped 0.5%, or $7, to $1,554 per ounce on the on the Comex division of the New York Mercantile Exchange. In Monday's U.S. session the contract dropped 1.5% to settle at $1,561, the lowest level for a front-month contract since Dec. 29. Greece is due to make debt payments of 436 million euros ($559.23 million) later Tuesday. Credit Agricole CIB analysts said the size of the debt payment was relatively small and noted that it was the last redemption faced by Greece before June 2013. "It would make sense for Greece to repay that one in order to calm things down," Credit Agricole analysts said in a note Tuesday.