Gold Loses 1.8%, Silver Drops 4%, as Miners Plunge, Euro & Oil Bounce
From Chris Mullen at GoldSeek.com...
Gold rose to see a gain of $6 an ounce at $1220 in late Asian trade on Wednesday, but it then fell off markedly for most of London and New York trade.
The Gold Price ended near its late session low of $1187.25 with a loss of 1.8% on the day.
Euro Gold fell to about €967 an ounce.
Oil rose a little after the Energy Information Administration reported that US crude oil inventories rose 200,000 barrels and gasoline inventories fell 300,000 barrels last week.
The US Dollar index fell as the Euro bounced from Tuesday's new four-year low.
Treasuries reversed early losses and turned higher as the Dow, Nasdaq, and S&P fell on continued worries about the impacts of Germany's ban on some types of short selling.
Silver fell to as low as $17.929 by early afternoon in New York and ended with a loss of 4.0%.
Platinum lost $82 to $1598, and copper dropped 7 cents to about $2.95.
Gold Mining and silver equities fell over 5% by late morning before they rebounded slightly in afternoon trade, but they still ended with about 4% losses.
Minutes from the Federal Reserve's latest policy meeting showed voting members were "in no rush" to sell $1.1 trillion of mortgage-backed securities. The majority prefer to wait until after the central bank starts raising interest rates – a move delayed again, for the 18th month running, by a
US consumer prices held flat month-on-month in April, rising 2.3% from a year earlier, new data showed.
Demand for home-purchase mortgages meantime fell to a 13-year low.
Thursday at 08:30 ET brings Initial US Jobless Claims for last week, expected at 439,000. At 10:00 comes the Leading Indicators for April, expected up 0.2%, and the Philadelphia Fed survey for May, expected at 20.7.
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