LONDON (Commodity Online): Gold climbed to a new record high at $1,058 this morning after the US dollar slipped from $1.4684 to $1.4776 against the euro.

With the 5-day rolling correlation between spot gold and the trade-weighted US dollar climbing from –83% on Tuesday, to –94% this morning, the gains in the gold price are mainly attributable to a weaker US dollar this morning.

Also supporting the gold price this morning is a 8.8 metric tonne increase in the SPDR Gold Trust ETF investment holdings, to 1,109.31 metric tonnes yesterday—with a 15.21 metric tonne increase in the fund’s gold holdings since 30 September.

Of note, revised Q2:09 GDP data showed a 0.2% q/q contraction, from a previous estimate of a 0.1% q/q contraction. Gold support and resistance are at $1,042 and $1,064 respectively today. Silver found support at $17.54 in Asia and climbed to $17.88 before encountering resistance in European trade, bouncing between $17.87 and $17.77.

Meanwhile, in other news, ETF Securities Ltd. liquidated 2.4% in its silver investment holdings to 20.46 million ounces. Support and resistance are at $17.41 and $18.03 respectively today. Stronger Asian equity markets, with the Nikkei and Shanghai Composite rising 0.34% and 0.9% respectively, coupled with a 2,210oz increase in ETF Securities Ltd’s platinum investment holdings, have supported platinum this morning.

The metal found support at $1,324 in Asia before rising to $1,345 in European trade. Support and resistance are at $1,322 and $1,353 respectively today.

Courtesy: Commodities Research, Standard Bank

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