US Gold futures finished pit trade flat to unchanged, near the daily high on Monday. Now that the Greek elections are in the history book, the market is looking toward this week's FOMC meeting.
Aug Gold last traded + 1.70 at 1,629.70 oz.
Spot Gold was last quoted + 2.30 at 1,629.50 oz.
Jul Comex Silver last traded + 0.01 at 28.75 oz.
The Greek elections went as expected as the pro-bailout and more conservative party barely won, now a coalition government needs to be formed in Greece.
German government officials applauded Greek elections, and said Greece is moving in the right direction. European and US stocks were narrowly mixed on the Greek election news.
Spain and Italy are now in the headlights.
Spanish 10-yr bond yields rose to above 7% on Monday.
A G-20 meeting in Mexico Monday and Tuesday will be closely watched for any new pronouncements on the EU debt crisis.
The Gold market Bulls take from Monday's price action is that the precious Yellow metal is now acting more like a safe-haven asset.
Gold held its own against Bearish Key outside markets that saw a firmer USD index and weaker Crude Oil prices. Had the market been more roiled Monday, likely Gold prices would have traded higher.
This week's meeting of the US Federal Reserve's Federal Open Market Committee (FMOC), will likely determine the next course of US monetary policy.
The meeting starts Tuesday and ends early Wednesday afternoon. The generally downbeat US economic data has led to expectations for further easing of US monetary policy aka QE3. Most folks think the Fed will implement some form of fresh easing of US monetary policy at this week's meeting.
The USD index traded higher Monday, but did hit a 4 wk low overnight.
Nymex Crude Oil futures prices were weaker Monday morning. Crude Oil remains in an overall Bearish fundamental and technical posture IMO.
Crude Oil (WTI) 83.17 (-0.86) ( -1.02%)
The London PM Gold fix is 1,615.50 vs the prior London PM fixing at 1,627.25.