by Christopher Freeburn | December 13, 2012 5:03 pm
Gold fell sharply on Thursday, sinking below $1,700 an ounce, as institutional investors dumped gold futures in anticipation of higher taxes next year. Political negotiations over the federal budget appeared to be at an impasse, suggesting that the U.S. might indeed go over the fiscal cliff.
Gold futures for February delivery dropped 1.2% to $1,698.40 on Thursday, according to CME Group. Gold traded as high as $1,712.80 and as low as $1,690.70. Gold bullion closed in London at $1,700, according to BullionVault.
Silver futures for February delivery fell to $32.33 per ounce. Thursday’s high for silver was $33.46, while the low was $32.29.
Gold and silver funds slid in Thursday trading.
Gold and silver mining ETFs fell during the day.
Gold mining shares dropped, with Goldcorp (NYSE:GG) falling the most.
Silver mining shares moved lower on Thursday.
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.
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