Gold Prices Today Blow Past $1,400

Gold prices today have been volatile, as they have been recently, with disparate pressures bringing mixed responses from investors who, in some cases, are uncertain of the economic realities moving gold prices.

Speculators are of course moving in and out of gold on the flimsiest of data coming out, as they always do, adding to the volatility, but the underlying fundamentals behind the rise in gold prices remain the same, and that isn't going to change any time soon.

Even though China's attempt to battle inflation has been one factor in suppressing of gold prices, they are on the other hand buying up large swaths of physical gold, creating demand at the same time they're taking actions which can result in downward pressure on gold prices.

Another temporary factor in gold prices is the alleged increase in Christmas sales, which the usual clueless economic reporting asserts is stronger economic growth. It's probably nothing more than people going deeper into debt.

The increase in retail sales and rise in the November Producer Price Index (PPI), has generated the question in some as to whether or not the quantitative easing from the Fed will be slowed down in response; an unlikely scenario, but one that was brought into the discussion.

As for spot gold prices, they have risen today to $1,402.90, up $8.40 as of 1:15 PM EDT.