George Gero, senior vice president at RBC Capital Markets, says that commodities "could see sell stops later in the day in general as dollar picks up a little," meaning that traders are forced to sell as gold, for example, if it breaks below a certain level.
Although some experts think that investors will be reluctant to truly abandon large gold positions as a rally to $1,500 is still waiting in the wings. "Ongoing concerns of EU debt, low interest rates and ongoing inflation concern are bullish longer-term
Gold mining stocks, a risky but potentially more profitable way to buy gold, closed mostly lower Monday. Barrick Gold (ABX - Get Report) lost 3% to $52.70 while Newmont Mining (NEM - Get Report) was down 2.3% to $56.61.
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