Gold held fairly steady as dollar watchers noted an attempt by the currency to recapture 80 on the trade-weighted index. More jawboning was on display overnight and the jaws most tightly clenched appeared to be those of Premier Wen of China.
Spot bullion dealing opened the final session of the week with a very modest bounce, gaining 90 cents to rise to the $1,315.80 level while the US dollar slipped 0.09 lower to 77.69 on the index, just ahead of the release of US GDP data.
Following its worst monthly performance in three years, gold enjoyed a successful attempt at starting the new one off on the right foot this morning. In various gold-oriented forums the "all-clear" signal has already been sounded.
Traders returning to work found largely the same conditions that they had left work amid on Friday; no resolution to the Libyan upheaval, continued weakness in the US dollar, and suggestions from various Fed 'factions' on changing US interest rates.