Gold rebounds in first trading day this week
The previous metal rebounded in the first trading day this week, where investors' fears from the outlook of global economies and the strength of the recovery process spurred demand for safety, causing commodities and low yielding assets to rise, while higher yielding assets and risky investments dropped.
Analysts believe that gold will be forced to correct its price, dropping towards $1200 an ounce, which will enable it to build a strong base for additional rise in the upcoming days. Gold rose nearly 12.0 percent this year, peaking at $1,265.0 an ounce in June.
Gold traded higher Monday, ahead of the release of Euro-Zone and Germany's manufacturing and services data, which signals that the activities slightly slowed down in both sectors.
The major highlight for this week on the economic calendar witnesses the release of Germany's GDP, US Existing Home Sales, the U.S. and U.K's GDP reports on Friday.
The US dollar index, which tracks the performance of the dollar against a basket of currencies, traded slightly lower, where the index is currently trading at 82.921, compared with the opening levels of 80.947. The index reached the highest so far at 83.080 and the lowest at 82.874.
The dollar depreciation against the euro spurred demand for gold, where gold for immediate delivery rose in trading to reach $1229.26 an ounce, compared with the opening levels of $1226.85 an ounce, while setting the highest at $1229.90 and the lowest at $1226.05, so far.
Silver for immediate delivery rose to trade at $18.05 an ounce, compared with the opening levels of $17.96 an ounce, where it managed to set the highest so far at $18.08 an ounce, and the lowest at $17.90 an ounce. Meanwhile, the world's most expensive metal, platinum, gained so far in today's trading by $6.0 reaching $1510.00 an ounce. Meanwhile, Palladium inclined where the metal traded $8.0 higher, at $478.00.