Gold News & Info

Source: Dana Samuelson, American Gold Exchange

Austin, TX— Gold traded lower on Monday, closing the New York session just under $1,280, following news that Greek Prime Minister-elect Alexis Tsipras pledged to keep the nation within the single currency area. While Syrzia, the anti-austerity party, handily won the election in Greece on Sunday with 150 seats, they were just shy of a full governing majority in the 300-seat parliament. Rumors of a coalition being formed with the right-wing Independent Greeks eased traders worries of a Greek departure from the euro. With gold up 9% in dollars and 18% in euros since the start of the year, traders took some profits off the table following last week�s ECB QE announcement and Sunday�s Greek vote.

The dollar, which hit a new short-term high at 95.85 on the U.S. dollar index in Sunday night trading, trended lower overnight and into the New York session. Conversely, the euro, which hit an 11-year low against the dollar late Sunday, rallied modestly into Monday.

The rating service S&P cut it�s rating on Russia to BB+, the equivalent of junk, putting it below investment grade for the first time in a decade. The ruble fell 4.5% in international trading following the downgrade. The plunge in oil prices, ongoing economic sanctions and the possibility of further sanctions due to renewed escalation of violence in the Ukraine are all weighing heavily on the Russian economy. Analysts believe the ratings services Fitch and Moody�s won�t be far behind in also downgrading Russian debt to junk status.

At the Comex close: February gold slipped just over 1%, or $13.20 to $1,279.40; March silver fell 33 cents to $17.97; April platinum fell $13.70 to $1,255; March palladium gained $7.75 to $781.85 an ounce.