The late-day sell-off in the equities arena, sparked by the political turmoil in Italy

The late-day sell-off in the equities arena, sparked by the political turmoil in Italy, sent investors for higher ground sending gold back toward the psychological level of $1600. The three major U.S. indices posted losses of more than 1.4% on Monday as uncertainty over who will be the next to lead Italy, and its struggling economy, has investors in the edge of their seats. The incumbent Prime Minister, Silvio Berlusconi, has already vowed not to work with Mr. Monti should be win this election and that has sent Italy’s bond yields nearer to 5%. Eurozone worries are not exactly a new concept but they haven’t been in the spotlight for quite a while. These developments come as the U.S. government faces automatic budget cuts on Friday that have the potential to send the world’s #1 economy back into a recession, according to some, and that’s not good for anybody.  Platinum was helped by the safe haven moves but easing tensions in SA have held the PGMS back from breaking out to the upside. The AMCU has reportedly signed a peace and stability framework. Chairman Bernanke will sit before the Senate Banking Committee today and the House Financial Services Committee on Wednesday which should give investors something to focus on ahead of Friday’s impending doom. Have a great day!