Gold rose sharply on Wednesday morning as investors digested President Obama’s re-election and the prospect of more federal stimulus. However, rising concern over the “fiscal cliff” of budget cuts and tax hikes caused the rally to falter and the metal closed down for the day.
Gold futures for December delivery dipped to $1,714 on Wednesday, according to CME Group. Gold traded as high as $1,733 and as low as $1,703. Gold bullion closed in London at $1,720, according to BullionVault.
Silver futures for December delivery also slipped, closing down at $31.66 per ounce. Tuesday’s high for silver was $32.42, while the low was $31.21.
Gold and silver funds were mixed in Wednesday trading.
- The SPDR Gold Trust (NYSE:GLD) edged up 0.1%.
- The iShares Gold Trust (NYSE:IAU) also gained 0.1%.
- The iShares Silver Trust (NYSE:SLV) fell 0.6%.
Gold and silver mining ETFs advanced during the day.
- The Market Vectors Gold Miners ETF (NYSE:GDX) climbed 1.5%.
- The Market Vectors Junior Gold Miners ETF (NYSE:GDXJ) inched up 0.7%.
- The Global X Silver Miners ETF (NYSE:SIL) increased 0.8%.
Gold mining shares were moved modestly higher on Wednesday, with Yamana Gold (NYSE:AUY) leading the pack.
- Agnico-Eagle Mines (NYSE:AEM) moved up 1.5%.
- Barrick Gold (NYSE:ABX) gained 2%.
- Eldorado Gold (NYSE:EGO) rose 1.5%.
- Goldcorp (NYSE:GG) increased 1.3%.
- Kinross Gold (NYSE:KGC) inched up 0.3%
- Newmont Mining (NYSE:NEM) edged up 0.2%.
- NovaGold Resources (NYSE:NG) advanced 0.5%.
- Yamana Gold improved 2%.
Silver mining shares were mostly gained on Wednesday.
- Coeur d’Alene Mines (NYSE:CDE) surged 8.2%.
- Hecla Mining (NYSE:HL) rose 0.3%.
- Pan American Silver (NASDAQ:PAAS) fell 0.8%.
- Silver Wheaton (NYSE:SLW) increased 1.5%.
- Silver Standard Resources (NASDAQ:SSRI) inched up 0.2%.
As of this writing, Christopher Freeburn did not hold a position in any of the aforementioned securities. Adrian Ash of BullionVault contributed to this report.