GOLD

Gold was affected by the falling Euro yesterday, hitting sell stops once 1610 and 1600 were broken. U.S. led buying finally drove it back higher again and Asia took it up to 1628.10, close to the 200 day moving average on the February Future. Global Gold ETF holdings, as tracked by Bloomberg fell 9.4 tons or 303'000 ounces, where a heavy reduction of 10.7 tons was reported by ZKB ETFs, while Source ETF added 1.2 tons. White metals remained affected by risk reduction, where Platinum saw it's ratio to Gold fall to 0.8674, the lowest level since 1985, where it had fallen close to 0.82. An attempt to take out the 200 day moving average seems on the cards now. Whether the level can be sustained next week remains to be seen, as Index rebalancings on the S&P GSCI and DJ UBS indices are estimated to bring selling of 2.5-3 Mio. ounces of Gold over the 5 days period.