NYMEX CBOT CME CME Group
Gold Market Recap Report for 5/16/2008

The gold market managed a quasi impressive range up extension on Friday and since that move comes in the wake of a two week consolidation the trade seemed to take the action Friday seriously. Certainly seeing what appeared to be a resumption of weakness in the Dollar rekindled currency market related buying interest in gold and with the June gold contract also managing to rise above a series of classic technical points on the charts could have prompted some technical short covering buying. With the stock market initially making a fresh new high for the move and crude oil prices also making a new all time high, it is possible that gold was seeing fresh speculative buying from the inflation angle. In the end, seeing the June gold contract manage a return to the even number level of $900 probably prompted some outright speculative buying interest.




 
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