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Precious Metals Further Favoured as USD Extends Losses

GOLD
  • Spot gold continues to firm into the NY crossover, largely benefiting from the pullback in the dollar (in turn, likely triggered by month-end flows favouring USD sales due to Dec's sharp equity rally).
  • Gold now on track to test the Dec 1 high at $2075.41, clearance here would then open the alltime intraday high at $2135.39 posted on Dec4th. A break of this level would resume the primary bull trend.
  • Silver trades similarly strong, higher for a fifth consecutive session and extending the recovery off mid-Dec's $22.51 and the post-Fed decision rally in risk assets.

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