Gold At Daily Highs On Bargain Buying, Short Covering
(Kitco News) - Gold prices are trading moderately up and at their session highs in late-morning action Friday. Shorter-term futures traders are exiting their previously sold, or short, positions heading into the weekend. Also, after prices dropped to a 12-month low overnight some perceived bargain-basement buying has surfaced today. It could also be that smart-money traders are looking just over the horizon and reckoning that the U.S. and Iran could be on a collision course--possibly militarily--regarding tightening U.S. economic sanctions on Iran, and Iran's bellicose rhetoric toward the U.S. in recent weeks. Such a scenario would likely be bullish for safe-haven gold and silver markets. December gold was last up $7.00 an ounce at $1,227.10.