Another overnight period of tight trading ranges and agonizingly slow business unfolded ahead of Thursday's New York session opening. Gold was confined to an $1,162.50-$1,170.40 price channel but gyrated mainly around the $1,165 figure.
A relatively small decline from near-record gold levels was partially countervailed by overnight gains in the yellow metal attributable to some bargain hunting and continuing perceptions that not all is well with the state of global economics.
Gold prices continued to hover near all-time record levels following the spectacular push by speculative funds on Tuesday. The $10 overshoot of the previous $1,265 pinnacle brought with it a rising and louder chorus calling for more of the same.
The Commodity Futures Trading Commission on Thursday voted to forward a rule restricting the number of commodity futures and option contracts any investor can hold in metals, energy or agriculture derivatives.
Spot dealings in New York saw an opening gain of $5.80 in the yellow metal and traders quoted the bid-side in gold at $1,685 the ounce. Bullion narrowed those opening gains within the first sixty minutes of trading action however.
Call it profit-taking, call it book-squaring, call it news-based trading, the result is the same: volatility remains an integral part of the metals' markets and to a degree that is not comforting to traditional buyers of same.