The price of gold has surprisingly fallen back after the recent steep gains, as investor appetite for risk returned.

Given the current hostilities and growing tension in Syria, it is surprising that safe haven gold is falling, along with the Japanese Yen.

The price of gold falling despite  war tensions growing.

Last week, unsurprisingly, the price of gold rose $50 in a day, on the back of the escalating conflict in Syria, and the threat of outside involvement further complicating the situation, pitting Turkey (a NATO member) and Saudi Arabia against Russia, Syria, and Iran.

Now the price is falling as investor appetite for risk is increasing, yet the war in Syria is rapidly escalating into a far more serious conflict, with news that Russia has dispatched a brand new cruise missile launching ship to the Mediterranean Sea in a clear warning to Turkey against ground troop involvement.

You have to wonder why the price of gold is falling against this backdrop of serious tension and escalating conflict, with Turkey violating the UN Charter by shelling across the border into Syria into areas recently won by Kurdish troops?

The Japanese Yen, also considered a safe haven in times of conflict, fell back v the US$.

Unsurprisingly, the price of oil is increasing, as Russia and Saudi Arabia put aside the Syrian dispute to discuss production quotas.