Latest News

Metals Stocks: Gold slides as dollar advances to fresh 20-year high


Gold prices retreated on Wednesday as the U.S. dollar advanced to fresh 20-year highs, following a brief reprieve in gold’s slide a day earlier

Price action

Gold futures

expiring in December were down $1, or 0.1%, to $1,635 per ounce on Comex.

Silver futures

expiring in December were down 20 cents, or 1.1%, at $18.15 per ounce.

Palladium futures

due in December were off $8.90, or 0.4%, to $2,081 per ounce, while platinum futures

due in January were down $5.80, or 0.7%, at $834 per ounce.

Copper futures

expiring in December were up 1 cent, or 0.2%, at $3.29 per pound.

What’s happening

Precious metals analysts largely blamed rising bond yields and the rampaging U.S. dollar for diminishing gold’s allure as a haven asset. As both yields and the dollar continue to climb, the next support level for the yellow metal is likely around $1,600 per ounce, a level it hasn’t seen since February 2020.

“Gold is falling again as yields rise and the dollar rallies once more on Wednesday. The yellow metal has been hammered by the repricing of interest rate expectations recently and is now threatening to break below $1,620, with support next appearing around $1,600,” said Craig Erlam, senior market analyst at Oanda.

The ICE U.S. Dollar Index
a gauge of the dollar’s strength against a basket of rivals, was up 0.5% to 114.66.

Need to Know: Here’s why one strategist says the consumer and related stocks might get a second wind

Previous article

Economic Report: U.S. trade deficit in goods shrinks fifth month in a row. Strong dollar dings exports

Next article

You may also like


Leave a reply

Your email address will not be published. Required fields are marked *

More in Latest News