Markets moved generally lower on Monday, but losses were mostly modest. Gold, silver and platinum futures in New York fell 0.2 percent, 0.3 percent, and 2.3 percent, respectively. Crude-oil declined from the highest level in six months while U.S. stocks — the Dow and S&P 500, in particular — fell from four-month highs.
In New York trading futures for bullion:
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Silver for July delivery dropped 4.5 cents to $13.91 an ounce.
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Gold for June lost $1.40 to $913.50 an ounce.
- July platinum fell $26.40 to $1,120.70 an ounce.
"Investment demand for gold as a safe-haven was waning in the wake of dissipating angst in various local markets," wrote Jon Nadler, a senior analyst at Kitco Inc. " ETF-related demand has gone into drought mode since reaching a record high last month."
"This week’s trade in gold is expected to progress in a generally higher direction, with prices potentially reaching $935.80 an ounce," Pawlicki, an analyst in Chicago, was quoted on Bloomberg. "Support will come from worries that inflationary pressures are growing, from increased tensions in northwestern Pakistan, and from Venezuela’s seizure of oil assets."
In spot bullion, the benchmark London gold fix price fell $6.00 to $913.00 an ounce. Silver remained unchanged at $13.90 an ounce. Platinum was fixed $35.00 lower to $1,114.00.
Gold, considered a hedge during times of high inflation and economic uncertainty, tends to follow oil and move opposite to the U.S. dollar. A rising greenback makes dollar-denominated commodities, like bullion, more expensive for holders of other world currencies.
Oil and gasoline prices
A fear for rising oil inventories was cited as a reason crude-futures dropped for the first time in four days. Oil for June delivery lost 13 cents, or 0.2 percent, to $58.50 a barrel.
It appears there is little relief in sight for consumers at the pump. The average price for unleaded gasoline climbed another 1.3 cents to $2.226 a gallon, according to AAA. The price is up 15.3 cents from a week ago.
U.S. Stocks
Profit-taking pushed U.S. stocks down Monday following multi-month highs hit in the previous session. The Dow Jones industrial average lost 155.88 points, or 1.82 percent, to 8,418.77. The S&P 500 Index fell 19.99 points, or 2.15 percent, to 909.24. The Nasdaq Composite Index slipped 7.76 points, or 0.45 percent, to 1,731.24.
Check out additional market resources at Live Bullion Spots, the Silver Coin Melt Calculator, U.S. Mint Collector Bullion Price Guide, and the Inflation Calculator.
