Gold has been as high as $1,138.50/oz overnight and has consolidated on yesterdays higher close - the first in four trading sessions. Gold is currently trading at $1,138.50/oz and in euro and GBP terms, gold is trading at €772/oz and £698/oz respectively.

The dollar is slightly weaker this morning and that is supporting gold. As are concerns about the public finances in many countries internationally (Spain, Greece and the UK in particular). The positive economic data out of China shows the resilience of the Chinese economy and bodes well for physical demand for the Chinese New Year. While economic recovery is gathering pace in China, there are real concerns about deepening inflation. Sovereign debt jitters look set to remain prevalent for the foreseeable future and this should contribute to providing a floor to gold above $1,000/oz. A  more positive than expected US Retail Sales number today could see gold come under further liquidation pressure.

Silver dipped to $17.24/oz overnight but it has moved upward since. Silver is currently trading at $17.49/oz, €11.84/oz and £10.70/oz.

Platinum Group Metals
Platinum is trading at $1,429/oz and palladium is currently trading at $367/oz. While rhodium is at $2,175/oz.