Precious metals climbed on Monday as gold moved above $920 an ounce following weakness in the U.S. dollar. Silver and platinum gained as well, but oil slid to stay below $60 a barrel. U.S. stocks rallied as major indexes marked gains of more than 2 percent.
In New York trading futures for bullion:
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Silver for September delivery rose 14 cents, or 1.1 percent, to 12.785 an ounce.
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Gold for August delivery climbed $10.00, or 1.1 percent, to $922.50 an ounce.
- October platinum gained $9.70, or 0.9 percent, to $1,117.30 an ounce.
Notable precious metal quotes on the day follow:
"With weak physical and investment demand, the metal [gold] remains at risk to further downside pressure," James Moore, an analyst at TheBullionDesk.com, was quoted on MarketWatch.
There is "little interest from the jewelry industry, modest coin and investment-bar demand, and we have seen no substantial inflows into ETFs," John Reade, UBS AG’s head metals strategist in London, was quoted on Bloomberg. Reade added that gold may test $900 "in the near future."
In bullion coin news, the US Mint over the weekend announced that it would strike Buffalo bullion coins, contrary to previous reports that only collector proof versions would be minted in 2009. The Mint is currently “developing a production and launch schedule.” For more details, read the CoinNews article 2009 Buffalo Gold Coins to be Minted After All.
Additionally, bullion coin sales surged during the last seven days. For more on this story, read Silver Eagles Near 15 Million, Gold Eagles Hit 800,000.
In London bullion, the benchmark gold price was fixed earlier in the day to $908.50 an ounce, a $4.50 decline. Silver fell 16 cents to $12.47 an ounce. Platinum, however, was fixed $2.00 higher to $1,097.00.
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
Oil prices fell Monday "as concerns over weak demand encouraged traders to continue selling crude," writes Polya Lesova of MarketWatch. New York crude-oil for August delivery declined 20 cents, or 0.3 percent, to close at $59.69 a barrel.
The national average for unleaded gasoline fell eight-tenths of cent to $2.529 a gallon, according to AAA. The price is 8.2 cents below last week, 12.5 down from a month back, and $1.58 lower than a year ago.
U.S. Stocks
U.S. stocks rallied "with financial and consumer shares leading the advance, as investors welcomed an analysts’ improved outlook on Goldman Sachs one day ahead of its quarterly report," writes Alexandra Twin of CNNMoney.
The Dow Jones industrial average gained 185.16 points, or 2.27 percent, to 8,331.68. The S&P 500 Index rose 21.92 points, or 2.49 percent, to 901.05. The Nasdaq Composite Index climbed 37.18 points, or 2.12 percent, at 1,793.21.
Check out additional market resources at Live Bullion Spots, the Silver Calculator, U.S. Mint Collector Bullion Price Guide, and the Inflation Calculator.
