Gold prices have moved to slightly higher levels in mid-morning dealings Tuesday. Some mild short covering and would-be bottom-picking are featured after prices overnight hit a 3.5-month low. The U.S. dollar index has also backed off from its daily high, but is still stronger on the day, which is limiting the upside in the gold market. A sell off in the U.S. stock market Tuesday morning is also prompting a bit of safe-haven demand for gold. April gold was last up $2.70 an ounce at $1,168.80.
