Spot gold prices are trading down this morning in Asia amid a generally risk off sentiment in the market following further negative press on the EU over the weekend. Comments from French Pres Sarkhozy criticising the ECB’s hard monetary policy, and Germany’s austerity drive along with the widening of China’s Yuan band have led to some nervousness and commodity related currencies have been hit hard. Gold is currently trading around $1648 ahead of the European open having rallied on Friday to $1979.45 and closing out last week around $1658.40. The metal has also been helped lower by sinking platinum prices and growing concerns over Spanish debt as yields march higher again. As far as today is concerned initial support is seen down towards $1632 and $1620.25 with initial resistance at $1667 and Friday’s early European highs of $1679.45.
EasyForexNews Research Team