Gold Flat After Last Week's Sell-offs

(RTTNews) - The price of gold was little changed Monday morning with the US dollar trading flat versus a basket of currencies amid lack of fresh triggers.

Gold for February delivery, the most actively traded contract, edged down $1.50 to $1,227.50 an ounce. Last week, gold lost nearly 2 percent as the recent batch of macroeconomic data, which came in better-than-expected, fueled speculation the Federal Reserve will taper QE3 in the coming months.

Holdings of SPDR Gold Trust, the world's largest gold-backed exchange-traded fund, moved down to 835.71 tons from 838.71 tons.

This morning, the U.S. dollar was lingering around its 5-week low versus the euro and near a two-year low against sterling. The buck was hovering around its seven-month high versus the yen, while dipping near a two-month low against the Swiss franc.

In economic news from the euro zone, Germany's trade surplus declined more than expected in October, data from the Federal Statistical Office revealed. The trade surplus fell to EUR 17.9 billion in October from EUR 20.3 billion in September. Economists expected a decline to EUR 18.3 billion.

German industrial production declined unexpectedly by 1.2 percent month-on-month in October, when it was forecast to rise 0.7 percent, data showed. The decline in October follows a 0.7 percent drop in September and a 1.5 percent rise in August, Federal Ministry of Economics and Technology said.

Meanwhile, euro zone investor sentiment declined unexpectedly in December from a two-and-a-half year high, a monthly survey by the think tank Sentix showed today. The confidence index came in at 8 points in December, down from 9.3 in November. The reading was forecast to rise to 10.3.

Elsewhere, the prices of silver and platinum were trading flat in morning deals.