Gold Turns Bearish after Disappointing Global News

Gold spent most of yesterday's trading session in a bearish trend, as a series of disappointing economic indicators out of China and the euro-zone weakened demand for commodities and precious metals. The price of gold fell by more than $15 an ounce over the course of the day, eventually reaching as low as $1755.60 before staging a mild upward correction during the afternoon session. Today, gold traders will want to pay attention to the EUR/USD. If the euro continues to fall against the greenback, gold may extend yesterday's bearish trend. A weakened euro typically means that gold becomes more expensive for international buyers, which can lead to a drop in prices.

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