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Gold Prices Expected to Open Lower on Monday

Strategic Insights

— 1 min read

Gold prices declined in overnight trading due to profit-taking, and futures were expected to open around $5 an ounce lower on the Comex division of the New York Mercantile Exchange. The weak euro and rising crude oil prices also contributed to the decline. However, investors had previously re-established long positions in gold, contributing to its rally on Friday.

Key Takeaways:

  • Gold prices are expected to open lower on the Comex division of the New York Mercantile Exchange on Monday, down around $5 an ounce.
  • May silver futures are expected to be down 1 cent an ounce.
  • The euro was trading down to $1.2585 from $1.2653 late Friday afternoon, which may impact metal prices.
  • Profit-taking and the weak euro contributed to the decline in gold prices in overnight trading.
  • Gold prices rallied on Friday due to investors re-establishing long positions in a flight to safety as equities declined, the U.S. dollar weakened, and crude oil rose.
  • George Gero, vice president with RBC Capital Markets Global Futures, reported gold fell in overnight trading due to profit-taking.
  • The Conference Board's employment trends index will be released on Monday, which may impact metal markets.
  • Gold futures settled at $942.70 an ounce, while May silver settled at $13.333 on Friday.
  • Comex gold warehouse stocks were up 20,001 ounces to 8,685,366 ounces on Friday, while silver stocks were down 124,961 ounces to 124,983,109 ounces.

Statistics:

  • Gold prices are expected to open around $5 an ounce lower on the Comex division of the New York Mercantile Exchange on Monday.
  • May silver futures are expected to be down 1 cent an ounce.
  • The euro was trading down to $1.2585 from $1.2653 late Friday afternoon.
  • Gold prices rose $14.90 to settle at $942.70 an ounce on Friday.
  • May silver rose 21.3 cents to settle at $13.333 on Friday.
  • Comex gold warehouse stocks were up 20,001 ounces to 8,685,366 ounces on Friday.
  • Silver stocks were down 124,961 ounces to 124,983,109 ounces on Friday.

Sources:

  • Dow Jones Commodities News via Comtex (March 9, 2009).
  • George Gero, vice president with RBC Capital Markets Global Futures (cited in Dow Jones Commodities News).
  • Dow Jones Newswires (Allen Sykora, journalist).

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