Gold declines in profit taking
Precious-Gold retreated on Tuesday after leaping yesterday at its the fastest pace in three months, which encouraged investors to sell the commodity and take profits.
The previous day, gold added $25.40 or 2.35% to close at $1105.27 an ounce. Gold Price was setin London on Monday at $1086.50 per ounce during the PM fixing inclining from $1082.00 at the AM fixing. SPDR gold trust, the world's largest exchange-traded fund backed by bullion, remained unchanged at 1,111.92 metric tons on February 1st.
The shiny metal climbed yesterday after the U.S. dollar stopped its advance against majors, when it dropped from 7-month high against the euro. The greenback did not incline, after the upbeat manufacturing data in the U.S. that showed that the economy expanded further in January.
The dollar index, a gauge of the dollar's movements against a basket of major currencies, slipped yesterday to 79.17 from the day's opening at 79.45, while it inched up today to 79.21. The dollar's fall the prior day gave the chance for commodities to advance; S&P GSCI added 7.09 points to 493.23; and RJ/CRB Commodity pushed up 2.39 points to 256.82; whereas crude oil inclined to near $75.00 a barrel from $72.75 in the preceding day's closing.
Spot gold inclined to $1102.90 an ounce, recording a high of $1107.05 and a low of $1098.85. The yellow metal is facing resistance at $1107.00, while gaining support at $1097.00.
In regards to other precious metals; platinum plunged to $1535.90 from the opening at $1536.40, whereas palladium slumped to $424.00 from $427.70.
Yet, movements in markets in the absence of strong fundamentals today ahead of the release of U.S. job report later on this week.