Gold price traded higher on news that debt talks were broken down

Gold price traded higher on news that debt talks were broken down. Greek Prime Minister Alexis Tsipras called for a referendum on Saturday morning. The Eurogroup has not agreed to extend the Greek bailout programme.

The referendum is scheduled to be on July 05. Greeks will be asked to vote if they want to accept the aid proposal by the country's creditors.

Greece's parliament approved a referendum on yearly Sunday.

The Greek government Sunday announced its decision to shut the country's banks and to impose capital controls to avert the collapse of its financial system. Banks will be closed until July 06.

Daily cash withdrawals has been limited to 60 euros and payments and transfers abroad has been banned.

Greek Prime Minister assured Greeks that their bank deposits were safe.

Stock exchange in Greece also remains closed.

The weaker-than-expected U.S. economic data also supported gold price. The National Association of Realtors (NAR) released its pending home sales figures for the U.S. on Monday. Pending home sales in the U.S. rose 0.9% in May, exceeding expectations for a 1.2% increase, after a 2.7% gain in April. April's figure was revised down from a 3.4% rise.

August futures for gold on the COMEX today rose to 1177.70 dollars per ounce.