BLBG:Gold Drops for Third Day in New York as Product Holdings Decline
Gold fell for a third day in New York after exchange-traded products holdings extended declines.
Holdings in gold-backed ETPs dropped 0.6 percent on May 10, according to data compiled by Bloomberg. Gold is having its worst start to a year since 1982 after dropping 15 percent and sliding into a bear market in April.
“Investors are losing interest in gold,” said Sun Yonggang, a macroeconomic strategist at Everbright Futures Co., a unit of one of China’s largest state-owned investment companies.
Gold for June delivery dropped 0.3 percent to $1,431.90 an ounce by 7:49 a.m. on Comex in New York. Prices dropped 1.9 percent last week, the first decline in three weeks. Speculators held 67,374 so-called short contracts on May 7, 6.4 percent more than a week earlier, U.S. Commodity Futures Trading Commission data show. The net-long position dropped 10 percent to 49,260 futures and options.
Silver for July delivery rose 0.2 percent to $23.695 an ounce, platinum dropped 0.2 percent to $1,483.80 an ounce, and palladium fell 0.2 percent to $704.60 an ounce.
To contact the reporter on this story: Glenys Sim in Singapore at gsim4@bloomberg.net
To contact the editor responsible for this story: James Poole at jpoole4@bloomberg.net
