The week started with a quiet Asia until just before London opened when it moves to $1,360 before gently slipping back until the morning Fix came in at $1,356.75.
Before London opened this morning gold stood at where it was at the close of business on Wall Street and roughly in line with the afternoon Fix at $1,363.50 and €999.71. This morning London took the price to $1,365 where it stood just ahead of New York’s opening.
On Friday the gold price managed to hit $1,357 in New York but then fell back to $1,347 where it held through Asia and into London on Monday, where it was Fixed at $1,347.00 after Fixing on Friday p.m. at $1,355,00.
When 2.5 tonnes worth of gold shares in the SPDR gold ETF in the States were bought, there was a flurry of short covering that took the gold price to a daily high of $1,355, breaking the downward trend.
And then the euro softened against the dollar, which remained weak against other leading world currencies. We expect overall that the euro will continue to strengthen against the dollar going forward.
With a regularity that begs some questions, gold again rose overnight, this time to $1,341 before London opened after Fixing yesterday afternoon at $1,331 and in the euro at €969.68.
