Gold gains ahead of the European finance ministers’ meeting
A new week begins, while gold ended a bullish week and is starting another one with gains as we can see the metal after opening the session in Asia advanced ahead of the European finance chiefs' meeting in Brussels today, especially after Greek lawmakers were able to end the political conflict in order to avert default; however markets are still jittery and pessimism is dominating investors, awaiting details from European lawmakers to implement the October 26 plan and to support Greece and relief the euro-area region.
Gold opened this week in Asia at $1753.40 per ounce and recorded the highest at $1772.97 and the lowest at $1752.54 and is currently hovering around $1766.87 per ounce.
Over weekly basis, the metal opened the past week at $1741.85 per ounce and fluctuated heavily between a high of $1767.27 and a low of $1681.13 an ounce, and was able to extend the huge gains recorded in the week before.
Europe remains the main focus in the market, especially after G20 leaders were unable to quell jitters and rising fears and provided nothing to markets, which disappointed investors who looked forward to the meeting to solve the debt crisis in Europe and pressure European lawmakers to end the two-year debt crisis.
Fears and pessimism are dominating investors, where renewed fears of a Greek default added to concerns that the debt crisis could spread to Italy and Spain, while the general referendum suggested by the Greek Prime Minister, who decided to step down and hand his powers to the coalition government, raised fears that Greece could default and exit the euro area region, which could affect the common currency and the European Union as a whole.
However, the Prime Minister stepped back and canceled the referendum on the second bailout deal, which eased jitters and rising concerns, but still markets are pressured to the downside while investors are demanding safe havens, awaiting the new Greek government agreement on the bailout package, noting that Greece could face bankruptcy as soon as mid-December without any financial aid.
Among other precious metals, silver is fluctuating heavily as this week started, yet extending the losses incurred in the past week, where the metal after the opening of $34.03 per ounce, it recorded the highest at $34.60 and the lowest at $33.82, and is currently hovering around $33.92 per ounce.
Platinum opened this week at $1636.00 per ounce and recorded the highest at $1645.00 per ounce and the lowest at $1629.75, and is currently trading around $1633.5 per ounce.