There is some very dirty bussiness going on from the institutions.
Gold outlook is very positive, but on an ASX down day... everythings goes down and nothings can held.
0949 [Dow Jones] Spot gold slightly lower after overnight rally, when soaring oil, base metal prices lifted precious metal; USDA forecast of falling grain stocks also helps, says HSBC analyst James Steel. Gold outlook positive, gloomy IMF forecasts spur increased investor interest in precious metals, bullion also spurred by combination of slowing growth, higher inflation globally. Gold also supported by heightened risk aversion, with money markets signaling unease about financial institutions as indicated by higher Libor rates. "The combination of credit concerns, weaker global economic growth, and persistent inflation concerns, is almost tailor-made for gold appreciation," says Steel, but question is whether gold can maintain upside momentum. Resistance at $950/oz. Spot gold trading at $933, down $1 vs NY close. (EFB)
