Gold is flat in subdued market conditions, seemingly unnerved by Yellen's recent comments on Friday that leaves the outlook for a Fed hike minimal in conditions where data is unfavourable.
Yellen has suggested, in so many words that there will be no rate hikes in November when she said, "that the monetary policy strategy should allow the economy to run “hot” for a period." Gold bugs are awaiting further catalysts, but such comments should underpin the demand effect and support gold in the upper end of $1,250 for the time being. Nonetheless, the DXY is mixed, below recent highs of 98.09 while USD/JPY takes a turn south from the midpoint of the 104.40 level with stocks coming off on Wall Street and remaining fragile, elevating support for Yen and enabling the precious metal to base at $1,250 lows for today.
US dollar index drops on Monday after hitting 7-month highs