Gold Prices Retreat

US dollar lower in currency trading

Gold prices are slipping a bit in commodities trading. Normally, the fact that the euro is higher in forex trading would help support gold prices, but the issue of whether or not gold is being used as a safe haven is still in doubt.

Right now, gold is acting as a safe haven, falling as optimism for the global economy rises. With financing options being offered by embattled European banks, and with a Greek debt deal in the works, as well as an interest, by the IMF, in expanding its lending, many expect matters to be shored up.

The result is that gold is dropping as investors move away from safe havens for now. At the moment, the US dollar and gold are moving in tandem with each other, even though they normally move inversely to each other. US dollar is lower today, as the euro breaks through the 1.29 level.

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