Gold price under pressure after failure to rise above August high

After the gold price reached a seven-week high of almost $1,170 per troy ounce yesterday, this morning is clearly seeing profit-taking by speculative financial investors. 

The failure of the gold price to exceed its August high presumably sparked selling for technical reasons. As a result, gold has fallen back to a good $1,150. The yellow precious metal is also not profiting from comments by Fed governor Brainard who said that the US Federal Reserve should be in no rush to implement a first rate hike until it is clear that the recovery of the US economy will not be brought off course by a global economic slowdown, trouble in China and other international risks, states Commerzbank. 

Other precious metals are also under pressure in gold's slipstream. Silver for example is trading well below the $16 per troy ounce mark, while platinum costs around $980 per troy ounce after having achieved prices of above $1,000 again yesterday for the first time in a month.