Market Updates

Gold Dips As Crude Prices Fall

Ivaylo
04 Oct, 2006
New York City

    The drop of crude oil below the $60 a barrel mark weighed heavily on precious metals trading. Crude oil futures touched a seven-month low of $58.75 after Colorado State University cut its hurricane forecast because of quickly-developing El Nino conditions. The most-active December gold ended near its lowest level since Sept. 15. Platinum, palladium and copper also dropped.

[R]5:00AM Gold and silver futures fell Tuesday due to the crude oil price plunge.[/R]
The most-active December gold sank $21.80 at $581.50 an ounce and the most-active December silver contract slipped to $11.02 an ounce, its lowest level since Sept. 21. The contract closed at $11.045, down 59.5 cents. January platinum moved dowwn $29.30 to end at $1,129.90 an ounce while December palladium settled $7.70 lower at $306.45 an ounce. The December copper contract fell 14.70 cents to finish at $3.2825 per pound.

The front-month November crude oil contract lost $2.35 to $58.68 a barrel, its lowest close since Feb. 16. November heating oil declined 4.79 cents to $1.6539 a gallon and November unleaded gasoline was off 4.567 cents to $1.455 a gallon, also a seven-month low. October natural gas advanced 11.6 cents at $5.759 a million British thermal units.

On the New York Board of Trade, December Arabica coffee futures closed up 0.70 cent at $1.0425 a pound and March gained 0.70 cent to $1.0810. Futures on raw sugar in foreign ports for March sagged 0.43 cent to end at 10.89 cents a pound and May lost 0.38 cent to 11.12 cents.

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