Market Updates

Gold Advances as Dollar Weakens

Ivaylo
12 Dec, 2006
New York City

    During the session the gold contract slipped to a three-week low, then rebounded as the dollar declined against the euro in the wake of reported comments from former Ex-Federal Reserve chief Alan Greenspan, quoted as stating that there were a few years of dollar weakness. Investors are anticipating the Federal Reserve not to hike the benchmark interest rate which now stands at 5.25 %.

[R]5:00AM Gold and silver prices gain Monday as dollar declines.[/R]
The most active February gold gained $3.80 to end at $634.80 a troy ounce at the New York Mercantile Exchange while March silver advanced 13 cents to close at $14.025 an ounce. January platinum also added to finish at $1,109.20 an ounce, $1.40 higher, although its sister metal, palladium, lost 20 cents to end at $333.75 an ounce. March copper gained 2.15 cents to end at $3.1335 per pound.

January crude oil declined 81 cents at $61.22 a barrel, as well as January heating oil losing 3.30 cents to finish at $1.7243 a gallon. January unleaded gasoline moved 2.25 cents lower to end at $1.5988 a gallon and January natural gas lost 13.4 cents to close at $7.427 a million British thermal units.

On the New York Board of Trade, the most-active March Arabica coffee futures gained 2.80 cents to settle at $1.2865 per pound, as well as March futures on raw sugar in foreign ports adding 0.05 cent to end at 11.42 cents a pound.

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