Gold Rallies on Short Covering, Value-Buying
(Kitco News) - Gold prices have pushed to their daily highs and are moderately up in morning trading Friday. Short covering in the futures market and some perceived value-buying in the cash market are lifting prices. Also, the U.S. dollar index has weakened a bit more since the start of U.S. day trading, which is supportive to the precious metals. A high-range close in gold Friday, combined with Thursday's close near the daily high, would begin to suggest the bears are exhausted and that gold prices could then at least trade sideways in the near term, if not sideways to higher. August gold was last up $6.10 at $1,230.20.