Gold News

Gold Ends Mon 0.8% Lower, Stock Rally Fades, $43Bn of Foreign Cash Quits US Securities

From Chris Mullen at

Gold and silver initially fell in Asia on Monday, before they rebounded near unchanged in early London trade.

Both the silver and Gold Price then fell to new lows for the day at $12.78 and $915.40 an ounce respectively by 10:00 in New York, only to bounce into the close and end with losses of 2.3% and 0.8%.

The Gold Price in Euros fell to €708.

Oil rose on hopes for a rebound in demand while the U.S. dollar index fell on continued euro strength following last week’s policy shift from the Swiss National Bank.

Treasuries fell rather noticeably while the Dow, Nasdaq, and S&P reversed early gains and ended slightly lower as traders digested last week’s significant gains.

Platinum lost $8 to $1052.50, and copper gained over 8 cents to about $1.74.

Gold Mining and silver equities fell over 1.5% in the first half hour of North American trade, before they rebounded to see slight gains by midmorning.

Gold and silver stocks then fell back off into the close and ended with over 1% losses.

On the data front, New York State manufacturing activity came in much weaker than expected, while Capacity Utilization fell below 71% for Feb. as Industrial Production shrank 1.4%.

Long-term foreign investment flows into US securities reversed Dec.'s $34.7 billion growth during Jan., the Treasury Dept. said, with foreigners pulling a net $43.0bn out of US assets.

Tuesday at 12:30 GMT brings US producer price inflation for Feb., expected at 0.4%, with Core PPI (excluding volatile oil and food prices) expected at 0.1%.

Housing Starts for February are expected at 450,000 annualized, with Building Permits expected at 500,000.

Chris Mullen is chief content manager of the GoldSeek family of websites, a leading source of gold news, comment and mining-stock data for private and institutional investors.

See the full archive of Chris Mullen articles


Please Note: All articles published here are to inform your thinking, not lead it. Only you can decide the best place for your money, and any decision you make will put your money at risk. Information or data included here may have already been overtaken by events – and must be verified elsewhere – should you choose to act on it. Please review our Terms & Conditions for accessing Gold News.

Follow Us

Facebook Youtube Twitter LinkedIn



Market Fundamentals