Gold Drops on Deflation Concerns, Flood of Stop-Loss Orders

by Christopher Freeburn | November 28, 2012 4:48 pm

Gold Drops on Deflation Concerns, Flood of Stop-Loss Orders

PreciousMetalsRecap Gold Drops on Deflation Concerns, Flood of Stop Loss Orders[1]Gold dropped sharply on Wednesday as the U.S. dollar rose, oil declined and the possibility of deflation in Europe and the U.S. prompted a flood of stop-loss orders from worried investors.

Gold futures for December delivery dropped to $1,718.60 on Wednesday, according to CME Group[2]. Gold traded as high as $1,743.10 and as low as $1,705.50. Gold bullion closed in London at $1,722, according to BullionVault[3].

Silver futures for December delivery fell to $33.71 per ounce. Wednesday’s high for silver was $34.04, while the low was $32.90.

Gold and silver funds decline in Wednesday trading.

Gold and silver mining ETFs were mixed during the day.

Gold mining shares mostly rose on Wednesday, with Barrick Gold (NYSE:ABX[10]) rising highest.

Silver mining shares were mixed on Wednesday.

As of this writing, Christopher Freeburn did not hold a position in any of the aforementioned securities. Adrian Ash of BullionVault[23] contributed to this report.

Endnotes:
  1. [Image]: http://investorplace.com/wp-content/uploads/2011/10/PreciousMetalsRecap.gif
  2. CME Group: http://www.cmegroup.com
  3. BullionVault: http://www.bullionvault.com
  4. GLD: http://studio-5.financialcontent.com/investplace/quote?Symbol=GLD
  5. IAU: http://studio-5.financialcontent.com/investplace/quote?Symbol=IAU
  6. SLV: http://studio-5.financialcontent.com/investplace/quote?Symbol=SLV
  7. GDX: http://studio-5.financialcontent.com/investplace/quote?Symbol=GDX
  8. GDXJ: http://studio-5.financialcontent.com/investplace/quote?Symbol=GDXJ
  9. SIL: http://studio-5.financialcontent.com/investplace/quote?Symbol=SIL
  10. ABX: http://studio-5.financialcontent.com/investplace/quote?Symbol=ABX
  11. AEM: http://studio-5.financialcontent.com/investplace/quote?Symbol=AEM
  12. EGO: http://studio-5.financialcontent.com/investplace/quote?Symbol=EGO
  13. GG: http://studio-5.financialcontent.com/investplace/quote?Symbol=GG
  14. KGC: http://studio-5.financialcontent.com/investplace/quote?Symbol=KGC
  15. NEM: http://studio-5.financialcontent.com/investplace/quote?Symbol=NEM
  16. NG: http://studio-5.financialcontent.com/investplace/quote?Symbol=NG
  17. AUY: http://studio-5.financialcontent.com/investplace/quote?Symbol=AUY
  18. CDE: http://studio-5.financialcontent.com/investplace/quote?Symbol=CDE
  19. HL: http://studio-5.financialcontent.com/investplace/quote?Symbol=HL
  20. PAAS: http://studio-5.financialcontent.com/investplace/quote?Symbol=PAAS
  21. SLW: http://studio-5.financialcontent.com/investplace/quote?Symbol=SLW
  22. SSRI: http://studio-5.financialcontent.com/investplace/quote?Symbol=SSRI
  23. BullionVault: http://www.bullionvault.com/

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