John Q. Public, who has been piling into gold at an alarming rate in recent months as talking head after talking head opines that hyper-inflation is right around the corner, never anticipated gold sales from the IMF to fund its expansion. Gold has fallen to $895 and odds are the dentists and the accountants have not yet gotten the news. If gold loses retail sponsorship it could get ugly. $883 is huge support.
Sliding gold implies growing risk appetites, a boost for EUR/JPY, which has resumed its role as risk barometer.