Gold Slips 0.5%, Silver Loses Near-2% as Stocks Tumble on US Home Sales Data

From Chris Mullen at GoldSeek.com...

The Gold Price rose as much as $5.55 to $1040.95 in Asian trade on Wednesday, and then fell back off in London to see a loss of the same at $1030.00 per ounce at the opening in New York.

The Gold Price rebounded to see slight gains by midmorning, but it then fell back off into the close and ended near its new session low of $1026.67 with a loss of 0.5%.

Silver climbed as much as 21 cents to $16.73 in Asia, but it also fell back off for most of the rest of trade and ended near its late session low of $16.12 with a loss of 1.9%.

The Gold Price in Euros fell to about €699 an ounce.

Platinum lost $2.50 to $1303, and copper fell nearly 7 cents to about $2.92.

Gold Mining and silver equities fell throughout most of North American trade and ended with over 5% losses.

Oil extended early losses after the Energy Information Administration reported that US crude stockpile inventories built 800,000 barrels last week, while gasoline inventories surprisingly built 1.6 million barrels, and distillates fell 2.1 million barrels.

The US Dollar index and Treasury bonds rose after another successful bond auction added to "safe haven" buying inspired by worse-than-expected New US Home Sales data.

Falling 3.5% from August, poor home sales in Sept. added to new from RealtyTrac that foreclosure notices rose 5% in the third quarter from April to June. That sent the Dow, Nasdaq, and S&P falling throughout the day after mostly poor earnings reports and worries over GMAC – now seeking a third round of tax-funded aid – led the indices to a lower open.

Thursday at 08:30 ET brings third-quarter US GDP growth, expected to read 3.2%, with the Chain Deflator expected at 1.3%.

Initial Jobless Claims for last week are expected at 525,000.

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