Gold is trading comfortably below the $900 level on the notion that some of the nations largest banks may actually survive as public entities. With many in recent weeks betting on Citigroup going to zero, news that the bank made 19 bln in the first two months of this year has set off a short-covering scramble. The stock is up 30 cents on the day, or 28%.
Also hanpering gold is news just coming out that Barney Frank expects the uptick rule, a hurdle to short-sellers, to be reinstated within a month.
$890 is important support for the metal and a break will help signal a medium-term top in place.
