Gold Drops After Wall Street Open

Gold fell on Thursday, shrugging off weaker European equity markets as a rebound in oil prices from 12-year lows and a higher opening on Wall Street pointed to a recovery in risk appetite, blunting bullion’s appeal as a haven.

Spot gold was down 0.8 percent at $1,084.26 an ounce at 1430 GMT, while U.S. gold futures for February delivery were down $2.80 at $1,084.30.

The metal hit two-month highs at $1,112 last week as volatility in Chinese stocks battered appetite for risk, but trading has since been choppy. Stocks fell further in Europe on Thursday, but Wall Street opened higher.

via Reuters

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Alfonso Esparza

Alfonso Esparza

Senior Currency Analyst at Market Pulse
Alfonso Esparza specializes in macro forex strategies for North American and major currency pairs. Upon joining OANDA in 2007, Alfonso Esparza established the MarketPulseFX blog and he has since written extensively about central banks and global economic and political trends. Alfonso has also worked as a professional currency trader focused on North America and emerging markets. He holds a finance degree from the Monterrey Institute of Technology and Higher Education (ITESM) and an MBA with a specialization on financial engineering and marketing from the University of Toronto.
Alfonso Esparza