Earlier today, the French President and the German Chancellor met in Berlin to discuss last month’s proposed deal to resolve the euro zone debt crisis. The two leaders said that there has been progress on last month’s proposed deal of fiscal integration among euro zone countries.
At last check, spot gold was trading 0.09% lower at $1,615.59 an ounce. Earlier in the day, spot gold fell to a low of $1,604.44 an ounce. Gold futures for delivery in February on the Comex division of the New York Mercantile Exchange are unchanged at $1,616.80 an ounce.
Walter de Wet, analyst at Standard Bank, told Reuters that gold is finding better support but it has been very rangebound since the start of the year. The analyst said that physical demand has improved but he does not think it will push the price much higher than $1,650 an ounce. He added that buying comes when prices dip below $1,600 an ounce.