Commodity Online (Reported 7/08/2010)

“The statement of China’s State Administration of Foreign Exchange (SAFE) is unlikely to impact the bullion market. The SAFE described Beijing as a responsible long-term investor and doesn’t seek the power to control recipients of its investment.

It said gold is a store of value and can be used for urgent payment. However, there are some limits to investing in gold and it cannot become a main channel for investing our foreign exchange reserves.” Will China’s statement hit gold prices?

 

Associated Prices (Reported 7/08/2010)

“Gold prices are sliding as investors become more comfortable with the short-term outlook for the euro. Traders are jumping back into riskier assets like stocks and currencies in recent days, hurting the price of gold.

Analysts say the recent trend of selling euros and buying gold is reversing. In recent months, investors had been selling euros rapidly because of worries that mounting sovereign debt in countries like Greece, Spain and Portugal would halt an economic recovery in Europe.” Gold dips as investors return to currencies

 

MarketWatch (Reported 7/08/2010)

“Gold futures edged lower on Thursday as investors turned their attention to riskier bets such as stocks and oil and the euro strengthened mildly during the session. Gold for August delivery declined $2.80, or 0.2%, to $1,196.10 an ounce on the Comex division of the New York Mercantile Exchange, keeping under the $1,200 mark for third time in a row.

Recent gold buying had been on fear, with the euro being a sector of major concern," said Adam Klopfenstein, senior market strategist at Lind-Waldock in Chicago.” Gold inches lower, ends below $1,200 an ounce for third day

 

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