Market Updates
Precious Metals Retreat on Dollar Strength
Ivaylo
08 Jan, 2007
New York City
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A strong U.S. jobs report Friday reduced market expectations for potential U.S. interest-rate cuts, sending the dollar to its highest levels since Thanksgiving and putting the precious metals under heavy pressure. February gold declined to $603, its weakest level since Oct. 27. March silver sank to $12.10, its weakest level since Oct. 26. High-grade copper futures sagged in response to a stronger U.S. dollar and recent declines in industrial commodities generally.
[R]5:00 AM Precious metals declined as the dollar firmed on strong US jobs report.[/R]
February gold lost $19.30 to end at $606.90 a troy ounce on the New York Mercantile Exchange and March silver dipped 60.5 cents to $12.23 an ounce. April platinum declined $23.50 to $1,112 an ounce while March palladium slipped $10.45 to close at $335.10 an ounce. The most-active March copper contract shed 6.70 cents to settle at $2.5350 per pound, its lowest level since April.
The February crude oil contract gained 72 cents to finish at $56.31 a barrel. February heating oil settled up 2.27 cents at $1.5658 a gallon. February natural gas settled up 2.2 cents at $6.184 per million British thermal units. The February gasoline contracts advanced 6.2 cents to close at $1.487 a gallon.
On the New York Board of Trade, March Arabica coffee futures contract closed 4.55 cents down at $1.2045 a pound. Futures on raw sugar in foreign ports for March lost 0.18 cent to end at 11.09 cents.
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