The value of the 17-nation currency of the European Union also edged up in value when compared with the world's reserve currency as investors closely scrutinized the after-effects of the credit rating downgrades to nine nations, including France. France and Germany typically take lead roles in economic development issues in the euro zone since their economies are the region's largest. The price of gold futures was barreling toward the $1,650 per troy ounce figure and one investment house noted ongoing discussions between debt-hobbled Greece and its creditors, which are believed to be nearing collapse.
"If these talks do not make progress gold could come under further pressure," states a note penned by HSBC.
At 7:08 a.m. on Monday, gold futures lifted 0.85 percent, a $13.80 advance to $1,644.60 per troy ounce.
Imports of bullion to China, the world's top consumer of gold along with India, touched a record high in November due to investors aiming to preserve their wealth, according to China Digital Times.
This material is conveyed as a solicitation for entering into a derivatives transaction.
This material has been prepared by a Daniels Trading broker who provides research market commentary and trade recommendations as part of his or her solicitation for accounts and solicitation for trades; however, Daniels Trading does not maintain a research department as defined in CFTC Rule 1.71. Daniels Trading, its principals, brokers and employees may trade in derivatives for their own accounts or for the accounts of others. Due to various factors (such as risk tolerance, margin requirements, trading objectives, short term vs. long term strategies, technical vs. fundamental market analysis, and other factors) such trading may result in the initiation or liquidation of positions that are different from or contrary to the opinions and recommendations contained therein.
Past performance is not necessarily indicative of future performance. The risk of loss in trading futures contracts or commodity options can be substantial, and therefore investors should understand the risks involved in taking leveraged positions and must assume responsibility for the risks associated with such investments and for their results.
Trade recommendations and profit/loss calculations may not include commissions and fees. Please consult your broker for details based on your trading arrangement and commission setup.
You should carefully consider whether such trading is suitable for you in light of your circumstances and financial resources. You should read the "risk disclosure" webpage accessed at www.DanielsTrading.com at the bottom of the homepage. Daniels Trading is not affiliated with nor does it endorse any third-party trading system, newsletter or other similar service. Daniels Trading does not guarantee or verify any performance claims made by such systems or service.