Gold off Two-Week Lows but Weaker Dollar Pressures
Source: Reuters (3/15/10)
"Gold prices rebounded on Monday from a two-week low hit late last week. . ."
Spot gold inched up 0.3% to $1,103.20 an ounce from New York's notional close of $1,099.50.
Gold briefly dropped below $1,100 an ounce on Friday to its lowest level since Feb. 25 despite a dollar rise, as investors unwound positions added the week before due to currency volatility amid a Greek debt crisis.
Speculation of further monetary tightening by China and economic uncertainty amid sovereign debt worries out of Europe triggered heavy futures liquidation last week.
U.S. gold futures for April delivery were at $1,103.60 an ounce, up 0.2% compared with $1,101.70 on the COMEX division of the NYMEX.
Noncommercial net long U.S. gold futures positions inched up 0.4% to 208,194 contracts in the week ended March 9 from 207,372 contracts a week earlier, according to the weekly Commitments of Traders report published by the Commodity Futures Trading Commission. It was the highest in five weeks.
The world's largest gold-backed exchange-traded fund, SPDR Gold Trust, said its holdings stood at 1,115.511 tons as of March 12, unchanged from the previous business day.