Gold Futures Fall Slightly Amid Stronger US Dollar

Strategic Insights -

The price of gold futures fell by $5.30 on Monday, settling at $1,001.10 an ounce on the Comex division of the New York Mercantile Exchange. Despite the slight decline, gold managed to remain above the $1,000 an ounce mark. Analysts attribute this stability to ongoing momentum buying and the metal's ability to hold above the $970-$980 level, which is seen as a bullish sign. However, some analysts also note that the failure of gold to press above $1,000 may be bearish, and participants are trying to determine a new trading range for the metal.

Key Takeaways:

  • Gold futures fell by $5.30 on Monday, settling at $1,001.10 an ounce on the Comex division of the New York Mercantile Exchange.
  • The decline was attributed to a stronger US dollar, which is often inversely related to gold prices.
  • Analysts, including Frank Lesh and Jim Steel, noted that the ongoing momentum buying is supporting gold prices, while the failure to press above $1,000 may be bearish.
  • Participants are trying to determine a new trading range for gold, with some analysts, such as Carl Sanchez, noting that gold is building chart patterns near record highs.
  • A close above $1,015 could move the metal toward a close above $1,060, according to Ralph Preston.

Statistics:

  • December gold futures fell $5.30 to settle at $1,001.10 an ounce.
  • The ICE Futures US dollar index was up 0.048 point at 76.700 after gold closed in New York.
  • Comex December silver fell 7.7 cents to settle at $16.623 an ounce.
  • Nymex October platinum lost $1 to settle at $1,319.70 an ounce.

Sources:

  • Dow Jones Commodities News via Comtex.
  • FuturePath Trading.
  • HSBC.
  • CPM Group.
  • Heritage West Financial.
  • Matt Whittaker, Dow Jones Newswires.