Gold & Silver End Monday Higher as Dollar Defies Weak US Data - Tuesday 4th November 2008
Gold Prices rose nearly $20 to $739.10 in London on Monday, before falling back to see only a $4 gain in early New York trade.
Gold Investment prices then bounced back higher into the close and ended with a gain of 1.1%.
Crude oil prices fell on more indications of falling demand as the US Institute for Supply Management's Index (ISM) fell to the lowest level since 1982. It showed that manufacturing in the US contracted in October at the fastest pace in 26 years.
The US Dollar index rose as the British Pound and Euro fell in anticipation of likely rate cuts by the Bank of England and European Central bank on Thursday.
Treasuries rose on uncertainty and economic weakness while the Dow, Nasdaq, and S&P waffled near unchanged in a relatively tight range as participants awaited the results of tomorrow's elections.
Silver rose over 5% in Asia before it fell to see a 5 cent loss at as low as $9.68 in early New York trade, but it also rallied back higher in the last several hours of trade and ended with a gain of 0.92%.
The Gold Price in Euros rose to about €574, platinum gained $4 to $814.50, and copper remained at about $1.84.
Gold and silver equities rose over 4% by mid-afternoon, but they then fell back off into the close and ended only slightly higher.
Tuesday at 14:00 GMT brings the US Factory Orders report for September, expected at -0.8%.
