[video] Quick Take: Gold Traders Await Syria Decision
NEW YORK (TheStreet) -- Gold prices are essentially flat on Monday, as potential military intervention in Syria looms overhead. TheStreet's Joe Deaux is with Phil Streible, senior commodities broker at RJO Futures, with his thoughts on the action.
President Obama is expected to speak on Tuesday regarding action in Syria. Streible said that if military action looks likely, gold prices should push through the $1,400 level and go higher.
However, if it appears that a strike is unlikely or unclear, gold prices could start to drop toward support at $1,350, he said.
The potential price action may remind traders of a few weeks ago, when precious metal prices rocketed higher on news that U.S. military intervention was likely, only to fall after none was immediately taken.Streible added that higher wages in the South African mines will likely increase supply from the region, having a negative effect on gold prices, although this news is on the back burner with all eyes on Syria. -- Written by Bret Kenwell in Petoskey, Mich. Follow @BretKenwell
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