Gold holds a tight range in Asia trade, to.....>

GOLD: Gold holds a tight range in Asia trade, to last deal little changed around

$1,685/oz after a sharp recovery from worst levels on Tuesday, as participants

pointed to familiar margin-call related price action, this time linked into

oil's tumult, as the reason behind the early bout of pressure that was seen.

- From a technical standpoint, bears still haven't managed to force a challenge

of key near-term support at $1,640.9/oz, with $1,658.2/oz, the 50.0% retracement

of the Apr 1-14 rally, protecting for now.

- As a reminder Tuesday saw Bank of America research note that "beyond

traditional gold supply and demand fundamentals, financial repression is back on

an extraordinary scale. Rates in the U.S. and most G-10 economies will likely be

at or below zero for a very long period of time as central banks attempt to push

inflation back above their targets. Beyond real rates, variables such as nominal

GDP, central bank balance sheets, or official gold reserves will remain the key

determinants of gold prices, in our view. As central banks and governments

double their balance sheets and fiscal deficits respectively, we have also

decided to up our 18-month gold target from $2,000 to $3,000/oz."