Deal to Avert Fiscal Cliff Sends Gold Higher

Gold and silver futures rise Wednesday; miners join in on the fun

   

PreciousMetalsRecap Deal to Avert Fiscal Cliff Sends Gold HigherGold advanced in Wednesday’s trading on the heels of a budget agreement approved by the U.S. House of Representatives that preserved Bush-era tax cuts on the middle class and averted the worst effects of the fiscal cliff.

Gold futures for February delivery rose 0.8% to $1,688.80 on Wednesday, according to CME Group. Gold traded as high as $1,695.40 and as low as $1,670.90. Gold bullion closed in London at $1,668, according to BullionVault.

11103054 gold bullion 200x200 Deal to Avert Fiscal Cliff Sends Gold Higher
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Silver futures for February delivery increased 2.5% % to $30.98 per ounce. Wednesday’s high for silver was $31.45, while the low was $30.22.

Gold and silver funds advanced in Wednesday trading.

  • The SPDR Gold Trust (NYSE:GLD) climbed 0.7%.
  • The iShares Gold Trust (NYSE:IAU) also rose 0.7%.
  • The iShares Silver Trust (NYSE:SLV) gained 1.9%.

Gold and silver mining ETFs also rose during the day.

  • The Market Vectors Gold Miners ETF (NYSE:GDX) added 1.6%.
  • The Market Vectors Junior Gold Miners ETF (NYSE:GDXJ) surged 3.6%.
  • The Global X Silver Miners ETF (NYSE:SIL) soared 3.5%.

Gold mining shares moved higher, with NovaGold Resources (AMEX:NG) rising highest.

  • Agnico-Eagle Mines (NYSE:AEM) increased 1.7%.
  • Barrick Gold (NYSE:ABX) rose 1.5%.
  • Eldorado Gold (NYSE:EGO) soared 3%.
  • Goldcorp (NYSE:GG) climbed 2.3%.
  • Kinross Gold (NYSE:KGC) gained 1.5%.
  • Newmont Mining (NYSE:NEM) advanced 1%.
  • NovaGold Resources rocketed up 7.3%.
  • Yamana Gold (NYSE:AUY) moved up 0.7%.

Silver mining shares also gained on Wednesday.

  • Coeur d’Alene Mines (NYSE:CDE) rose 2.3%.
  • Hecla Mining (NYSE:HL) surged 4.9%.
  • Pan American Silver (NASDAQ:PAAS) gained 2.6%.
  • Silver Wheaton (NYSE:SLW) also increased 2.6%
  • Silver Standard Resources (NASDAQ:SSRI) advanced 3.4%.

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.


Article printed from InvestorPlace Media, http://investorplace.com/2013/01/deal-to-avert-fiscal-cliff-sends-gold-higher/.

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