A deal between European finance chiefs and Cyprus officials to bail out the island nation’s insolvent banks raised optimism about the European economy, weakening gold’s appeal as a safe-haven investment. The metal fell slightly in Monday trading.
Last week, European leaders had warned Cyprus that if it couldn’t raise funds to finance its bailout, it could face expulsion from the eurozone.
Gold futures for April delivery dipped 0.1% to $1,604.50 per ounce on Monday, according to CME Group. Gold traded as high as $1,612.80 and as low as $1,588.40. Gold bullion closed in London at $1,606, according to BullionVault.
Silver futures for April delivery gained 0.4% to $28.79 per ounce. Monday’s high for silver was $28.80, while the low was $28.52.
Gold and silver funds retreated in Monday trading.
- The SPDR Gold Trust (NYSE:GLD) slipped 0.2%.
- The iShares Gold Trust (NYSE:IAU) declined 0.1%.
- The iShares Silver Trust (NYSE:SLV) rose 0.3%.
Gold and silver mining ETFs slid during the day.
- The Market Vectors Gold Miners ETF (NYSE:GDX) fell 1.3%.
- The Market Vectors Junior Gold Miners ETF (NYSE:GDXJ) dropped 1.4%.
- The Global X Silver Miners ETF (NYSE:SIL) sank 0.9%.
Gold mining shares moved lower on Monday.
- Agnico-Eagle Mines (NYSE:AEM) slid 1.8%.
- Barrick Gold (NYSE:ABX) declined 1.3%.
- Eldorado Gold (NYSE:EGO) fell 1.5%.
- Goldcorp (NYSE:GG) sank 1.6%.
- Kinross Gold (NYSE:KGC) slumped 2.7%.
- Newmont Mining (NYSE:NEM) slid 1.3%.
- NovaGold Resources (AMEX:NG) was flat.
- Yamana Gold (NYSE:AUY) tumbled 2.9%.
Silver mining shares mostly declined.
- Coeur d’Alene Mines (NYSE:CDE) inched up 0.1%.
- Hecla Mining (NYSE:HL) slipped 1.2%.
- Pan American Silver (NASDAQ:PAAS) fell 0.6%.
- Silver Wheaton (NYSE:SLW) climbed 0.1%.
- Silver Standard Resources (NASDAQ:SSRI) sank 0.7%.
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.