Gold Prices Today Slightly Down, Await China, Ireland

While it seems China's decision has finally been unveiled on what they're going to do to combat inflation, Irelands is still waiting in relationship to their sovereign debt crisis, and gold prices today are under slight downward pressure until that plays itself out.

China has taken the initiative to increase the amount of reserves banks mus hold by another 50 basis points, something that is less monetary medicine than raising interest rates, as it relates to interaction with gold price movements.

Another increase in interest rates may have put more pressure on gold prices as far as slowing their torrid upward pace.

Also needing to play out is what will be the results of the meeting Friday of the Commodity Futures Trading Commission, as they work things out in connection to new regulations in the Dodd-Frank Act.

Specifically addressed will be position limits for physical commodity futures contracts and swaps.

Consequently, it appears gold futures will be more volatile than spot gold prices until these things work through the system.

Once they have, support prices for gold will be more clear, although the are in a holding pattern for now, remaining relatively level.