The usual inverse dollar-gold correlation is firmly in place with one minor difference regarding a value paradox. In particular, when the dollar was around 12,050, gold
traded around 1,080, whereas presently with dollar at 12,090 gold
persistently trades around 1,120 (1,123 at the moment). Perhaps gold
will "surprise" us at a later stage with a swift and decisive drop. In any event this scenario of gold
decline towards and probably below 1,000 is consistently part of most PM traders planning. In the short term one cannot also rule out a dollar decline and gold
rise. Very tricky situation, depending largely upon the future Fed decisions.