The gold market started out with a minimally positive early track but prices proceeded to erode throughout the trading session. The gold market fell into the first US scheduled report release but manage a low to high recovery bounce of roughly $6 an ounce before coming under renewed selling pressure. In fact, the losses in gold prices accelerated into mid session, off what some players suggested was a series of technical failures on the charts. Certainly seeing weakness in other physical commodity markets and seeing an attempt to bounce the Dollar added to the early afternoon downward tilt in gold prices. Some players even suggested that slower US growth might serve to reduce inflationary pressures and that in turn tamped down some investment interest in gold. In the end some gold bulls had to be disappointed with the markets reaction to weaker US data, as the fear of stronger US Data and rising interest rates seemed to knock gold down earlier in the week.
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