Market Updates

Gold Advances In Thin Trading

Ivaylo
04 Jul, 2006
Metals

    The gold market continues to be buoyed by speculation that the central banks of China and the United Arab Emirates are intent on increasing their gold reserves, although there is no clear evidence of central bank buying this year. However, the upward move in precious metals seems not to extend to base metals.

[R]5:15 AM Gold continues to advances on central banks plans.[/R]
Trading on the NYME was closed due to the July Fourth holiday. Gold in London traded at $624.20 per troy ounce, up from $613.50 late Friday. In Zurich, gold reached $624.25, up from $615.25. Gold advanced $19.90 in Hong Kong to close at $620.0. Silver traded in London at $11.28 per troy ounce, up from $11.04 and platinum touched a four-week high at $1,242 a troy ounce. The upward move in precious metals did not extent to base metals, though. The three-month copper contract declined $80 to $7,240 a tonne on the London Metal Exchange. Aluminium was $30 lower at $2,600 a tonne.

Oil prices advanced Monday on anticipation that large numbers of Americans will take to the road for Independence Day. Strong U.S. economic data and worries over Iran''s nuclear defiance also boost prices. Brent futures added 19 cents to $73.70 a barrel on the ICE Futures exchange, their eighth consecutive gain. Nymex was closed for the U.S. holiday, and traders suggested that lack of Nymex trading kept prices from going even higher.

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