Gold falls on higher USD, higher expected interest rates

•     Dollar strengthens further almost across the board

–    US ISM index moves sharply higher, vs expectations of tiny decrease

–    19 of 26 other countries reporting Monday saw a decline, including China, UK, and most of the big Eurozone countries – US stands out

–    Fed funds expectations up 6 bps

•     Gold falls on higher USD, higher expected interest rates

•     Oil down on lower PMIs in the rest of the world

•     GBP falls after poll shows “yes” vote on Scotland gaining

–    Yougov survey shows support for Scottish independence rising to 47%

–    Other polls don’t show such strong support, but agree that it’s rising

–    GBP had no risk premium built in; fundamental and technical picture is poor

•     Australia GDP beating estimates has no effect

•     Today:

–    Eurozone: final service-sector PMIs, Eurozone retail sales for July

–    UK:  Service sector PMI

–    US: factory orders for July expected to surge = USD-positive

–    Canada:  BoC expected to remain on hold, largely repeat previous comment