Gold sold off sharply in Asia-Pacific trading late Sunday, falling from the $1,633.30 mark reached Friday, to a low of around $1,609 per ounce as news broke that President Barack Obama and leaders from both parties had reached an agreement to raise the nation’s debt ceiling and were scrambling to set up votes Monday.

Gold then reversed course and surged from around $1,613 to just shy of $1,625 in late London, early N.Y. trading as the U.S. ISM Manufacturing Index fell to 50.9 in July, and reports of weaker manufacturing came in from China and the United Kingdom.

Gold was set at $1,623 per ounce at the London PM fix and was trading at $1,625 Bid, 1,626 Ask in early morning trading Monday. Silver was set at $39.31 in London and was trading at $39.65 Bid, $39.75 Ask.

Gold and silver trusts were trading flat to slightly lower in New York on Monday.

• The SPDR Gold Trust (NYSE:GLD) was up down less than 0.1%.
• The iShares Gold Trust (NYSE:IAU) was about flat.
• The iShares Silver Trust (NYSE:SLV) was lower by more than 0.5%.

Gold and silver mining ETFs, in contrast, were moving higher.

• The Market Vectors Gold Miners ETF (NYSE:GDX) was up more than 1.5%.
• The Market Vector Junior Gold Miners ETF (NYSE:GDXJ) was up more than 1.2%.
• The Global X Silver Miners ETF (NYSE:SIL) was trading around 1% higher.

Shares of gold mining majors were up as well, with NovaGold Resources gaining more than 3% early Monday.

• Agnico Eagle Mines (USA) (NYSE:AEM) was around 1.5% higher.
• Barrick Gold Corp. (NYSE:ABX) was up more than 2%.
• Goldcorp (NYSE:GG) was around 1.3% higher.
• Newmont Mining Corp. (NYSE:NEM) was up around 0.1%.
• NovaGold Resources (USA) (AMEX:NG) was nearly 3.2% higher.

Silver mining shares were sharply lower, with Coeur D’Alene Mines, Silver Wheaton and Silver Standard Resources recouping recent losses and up 3% or more early Monday.

• Coeur D’Alene Mines Corp. (NYSE:CDE) was up 3%.
• Hecla Mining (NYSE:HL) was around 2.4% higher.
• Pan American Silver Corp. (USA) (NASDAQ:PAAS) was almost 2.5% higher.
• Silver Wheaton Corp. (USA) (NYSE:SLW) was up around 3%.
• Silver Standard Resources Inc. (USA) (NASDAQ:SSRI) was up 3.4%.

The author does not hold positions in any of the above-mentioned investments.