Lower-than-expected first time unemployment claims coupled with slight fourth-quarter U.S. GDP growth sent gold tumbling in Thursday trading. Better economic signals weakened the metal’s safe-haven appeal as equities flirted with new records. The metal fell 5% during the month, marking its fifth straight monthly decline.
Gold futures for March delivery jumped 1.1% to $1,577.70 per ounce on Thursday, according to CME Group. Gold traded as high as $1,601.60 and as low as $1,575.1. Gold bullion closed in London at $1,583, according to BullionVault.
Silver futures for March delivery also more than 1.9% to $28.40 per ounce. Thursday’s high for silver was $29.14, while the low was $28.39.
Gold and silver funds dipped in Thursday trading.
- The SPDR Gold Trust (NYSE:GLD) slid 1%.
- The iShares Gold Trust (NYSE:IAU) also fell 1%.
- The iShares Silver Trust (NYSE:SLV) dropped 1.7%.
Gold and silver mining ETFs also retreated during the day.
- The Market Vectors Gold Miners ETF (NYSE:GDX) dropped 2.3%.
- The Market Vectors Junior Gold Miners ETF (NYSE:GDXJ) sank 3%.
- The Global X Silver Miners ETF (NYSE:SIL) declined 1.9%.
Gold mining shares retreated on Thursday.
- Agnico-Eagle Mines (NYSE:AEM) fell 3.1%.
- Barrick Gold (NYSE:ABX) dropped 2.2%.
- Eldorado Gold (NYSE:EGO) tumbled 2.3%.
- Goldcorp (NYSE:GG) declined 2.1%.
- Kinross Gold (NYSE:KGC) slumped 3.4%.
- Newmont Mining (NYSE:NEM) slipped 0.8%.
- NovaGold Resources (AMEX:NG) sank 2%.
- Yamana Gold (NYSE:AUY) moved down 2.3%.
Silver mining shares also declined.
- Coeur d’Alene Mines (NYSE:CDE) dropped 1.9%.
- Hecla Mining (NYSE:HL) fell 3.7%.
- Pan American Silver (NASDAQ:PAAS) dipped 2.1%.
- Silver Wheaton (NYSE:SLW) declined 2%.
- Silver Standard Resources (NASDAQ:SSRI) plunged 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.