16.10.2013 - Gold may be putting in an important bottom
The bull camp sees a higher low and the bear camp sees a lower high from the Monday gold trade. Granted gold managed to bounce off the lows posted last week but the source of the rally was in question. Some bulls claim the recovery was revived safe haven buying interest in the wake of a failure to move closer to a US debt ceiling deal from over the last weekend. Others suggest that the gains Monday were the result of developing weakness in the Dollar, which in turn can lend support to physical commodity markets. While the safe haven or flight to safety argument havenít played loudly with the gold market over the last two months, the approach of the October 17th default deadline combined with warnings from the head of the IMF and JP Morgan regarding the consequences of an actual default might have rekindled financial market anxiety...............................................Full Article: Source
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