Gold prices declined yesterday after Ben Bernanke’s speech in the US Senate. The FRS Chairman didn’t mention any plans of economic stimulation.
Gold has slightly recovered from yesterday’s weakness, mainly due to a weaker dollar.
This morning (GMT) the gold futures contract for August delivery appreciated by 0,70%, thus reaching $1581,80/oz. At the same time the US Dollar index (USD against a basket of 6 other major currencies) dropped 0.13% down to 82.88.
Now speculators are waiting for today’s US economic stats to influence gold prices.
It should be noted that gold appreciated by 10% in 2011. The rally started in 2000 has been the longest one in the market of gold since 1920. In June 2012, gold appreciated by 2.8% but depreciated by 4% in Q2 2012.
According to , so far, gold has failed to come up to buyers’ expectations. Therefore, it is time to consider an alternative scenario. Therefore, we may see the price going down to 1554-1547.
