"It seems that a number of safe haven refuges like gold, the Japanese yen, U.S. Treasury bonds, and the Swiss franc have all been under pressure lately," says Ed Meir, metals analyst at brokerage INTL FCStone.
Meantime at the World Economic Forum of policy-makers and business leaders in Davos, Switzerland, "We are buying gold and will continue to pursue this course," said Russia's first deputy chairman Alexei Ulyukayev today.
The final session of the week saw gold dipping sharply as a mild revival in the US dollar’s strength prompted speculators to lock in short-term profits and sel. Friday morning’s low was touched at $1,655 after the yellow metal lost nearly $20 an ounce and fell below its 200-DMA once again.
Wholesale gold bullion prices dipped back below $1,670 an ounce Friday morning in London, 0.9% up on where it started the week, after jumping 1% yesterday following the European Central Bank's decision to leave interest rates on hold.
Wholesale London gold rose back to Wednesday's 4-session high this morning, trading above $1,664 per ounce. Currencies were little moved, with "no change" decisions on interest rates expected in both the UK and euro zone.