Gold Price Cools After Rally, Merkel Twists

London (Nov 20)  Gold futures were slightly lower Monday morning, giving back early gains despite lingering geopolitical tensions and uncertainties in Germany.

Gold was down USD4 at USD1292 an ounce, having risen sharply in the previous session.

German government coaltion talks broke down over the weekend, putting Chancellor Angela Merkel's leadership at risk.

The dollar strengthened against the euro on the news, denting gold prices.

Speculation that Congress will fail to act on tax reform plans before Thanksgiving also kept investors on their toes.

On the economic front, the Conference Board's Leading Indicators for October will be issued at 10.00 am ET. The economists are looking for growth consensus of 0.6%, compared to a decline of 0.2% in the prior month.

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