The gold futures market posted initial strength but was clearly disappointed with the flow of US economic news. Apparently the gold trade was pent up for ongoing uncertainty and seeing a series of better than expected, or not as bad as feared readings served to tamp down macro economic uncertainty. However, given a little dramatic improvement in overall market psychology it was somewhat impressive to see gold give up only modest ground in the face of a sharp equity market rebound and weakness in a host of flight to instruments. While news of an IMF gold sale of 16.8 metric tones in July might have contributed to the profit taking reversal in gold prices this morning, IMF gold sales are not unexpected given their recent activities.