Gold has recovered from its Asia-Pac lows,.....>

GOLD: Gold has recovered from its Asia-Pac lows, but still sits ~$3/oz or so

lower on the day at $1,656/oz, generally reacting to the relative moves in U.S.

equity index futures in Asia-Pac trade. Regional participants have had to assess

the broader risk backdrop, while yesterday's equity sell off triggered U.S.

President Trump & his NEC director Kudlow into voicing their opinions re: the

attractiveness of equity levels (albeit in slightly different manners).

- Monday's U.S. session saw spot move back from its European session highs, with

an air pocket hit late on, following what seemed to be a social media rumour

doing the rounds, noting that "BIS TEAM HAS RECEIVED THE AUTHORIZATION TO BEGIN

SELLING GOLD." We can't find that headline on any news wire that we monitor, so

would play this down in terms of being a credible headline.

- Also worth noting that Fed hawk Mester and her dovish counterpart Kashkari

didn't show any desire to push for moves in MonPol given the recent evolution of

coronavirus.

- Yesterday's high now represents initial resistance ahead of $1,696.2/oz, the

Jan 22 2013 high.