Stronger U.S. dollar has weighed on gold

The gold price traded lower Monday morning, falling $3.00 to $1,499 per ounce. The price of gold broke through a number of support levels last week as it plunged over $60. A stronger U.S. dollar has weighed on gold, silver, and the broader commodity complex in recent weeks. Sovereign debt worries, which have depressed risk appetites among investors, continue to dominate the headlines with key votes by the Greek and Italian parliament over austerity packages set to take place later this week.

The Global Precious Metals Team at TD Securities highlighted support levels for the gold price roughly 2.5% below current levels: “Short term support remains at $1,470 where gold has held a few times on recent sell-offs and we keep hearing rumors of central bank buyers below. We would look to buy gold at $1,470 should we see it and job the range up to $1,510.”