Gold Dips But Holds On To Earlier Gains

Gold held on to gains from the previous day on Wednesday, according to iNVEZZ.com.

The spot gold price fell by a dollar to reach $1,163.23 an ounce – 4.5 percent below its 50-day simple moving average. Meanwhile, the U.S. gold future price declined by less than 0.1 percent to $1,162.2 an ounce.

“The precious metals rebounded strongly on Friday and consolidated on Monday and earlyTuesday, they are now looking well placed to edge higher again and if there is enough buying to chase prices higher then that could trigger fund short-covering that could see momentum pick-up,” FastMarkets Analyst William Adams was quoted as saying. “That said, sentiment largely remains negative so expect volatility.”