Gold Today -Gold closed in New York at $1,287.10 yesterday down from $1,290.00 on Friday. On Wednesday morning in Asia it pulled back to $1,281.00, as the Yuan weakened against a slightly stronger dollar, before the LBMA price setting in London.
LBMA price setting: $1,280.30 down from Tuesday’s $1,296.50.
Yuan Gold Fix
The Shanghai Gold Fixings today showed only a small change in the Yuan gold price as one would have expected.
Why the fall in dollar terms? You will see the value of the Yuan against the U. S. dollar fell 0.25 of a Yuan. This made all the difference, as it reflected a slightly strengthening dollar or a weakening Yuan, at a time when most other currencies continued strong, overall, against the dollar.
For those following the Technical picture, this is confusing because you are not following just the gold price any more, but the gold price in dollars. The Technical picture of gold in the Yuan is now very different. So is the Technical picture defining the dollar’s moves against gold or gold against the dollar? The same applies to all other currencies where the Technical picture is different.
This post was published at GoldSeek on 4 May 2016.
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