Monday, July 12, 2010

Gold Prices Fall Today on Stronger US Dollar Slowing Demand

A stronger US dollar has some investors looking to the greenback as an alternative place of safety rather than gold, and gold prices today have fallen by $11.60, to $1,199.80 an ounce, as of 12:20 PM EDT.

The US dollar has risen today against a basket of six major currencies.

Gold is holding better against foreign currencies today than it is against the US dollar, so some have recommended selling the euro, for example, and invest in gold. That has been a practice for some time now as the sovereign debt crisis in Europe became known.

So at this time the dollar is holding gold prices down today, as fear has shrunk and investors look to other places to put their assets.

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