Gold Tumbles Below $1,400 an Ounce
by Christopher Freeburn | May 15, 2013 4:35 pm
[1]A still-rising U.S. dollar and advancing equities sent gold down for a fifth straight session, pushing the metal below $1,400 an ounce. The Dow Jones Industrial Average and S&P 500 closed at fresh record highs for a second consecutive day, while the U.S. dollar rose against the euro.
Investors also took note of a report showing that U.S. wholesale prices declined in April — a signal that dispelled fears that inflation could rise.
Gold futures for June delivery dropped 2% to $1,396.20 per ounce on Wednesday, according to CME Group[2]. Gold traded as high as $1,429.40 and as low as $1,389. Gold bullion closed in London at $1,394, according to BullionVault[3].
Silver futures for June delivery sank 3% to $22.65 per ounce. Wednesday’s high for silver was $23.38 while the low was $22.47.
Gold and silver funds slumped in Wednesday trading.
- The SPDR Gold Trust (NYSE:GLD[4]) declined 2.3%.
- The iShares Gold Trust (NYSE:IAU[5]) also fell 2.3%.
- The iShares Silver Trust (NYSE:SLV[6]) dropped 3.6%.
Gold and silver mining ETFs tumbled during the day.
- The Market Vectors Gold Miners ETF (NYSE:GDX[7]) slid 4.5%.
- The Market Vectors Junior Gold Miners ETF (NYSE:GDXJ[8]) plunged 7.8%.
- The Global X Silver Miners ETF (NYSE:SIL[9]) sank 3.8%.
Gold mining shares moved sharply lower on Wednesday.
- Agnico-Eagle Mines (NYSE:AEM[10]) dropped 5.4%.
- Barrick Gold (NYSE:ABX[11]) fell 5.2%.
- Eldorado Gold (NYSE:EGO[12]) slid 4.4%.
- Goldcorp (NYSE:GG[13]) declined 5.1%.
- Kinross Gold (NYSE:KGC[14]) dipped 1.1%.
- Newmont Mining (NYSE:NEM[15]) sank 3%.
- NovaGold Resources (AMEX:NG[16]) plunged 5.1%.
- Yamana Gold (NYSE:AUY[17]) slumped 5.3%.
Silver mining shares also also tumbled during the day.
- Coeur d’Alene Mines (NYSE:CDE[18]) fell 3.1%.
- Hecla Mining (NYSE:HL[19]) declined 2.5%.
- Pan American Silver (NASDAQ:PAAS[20]) sank 3.8%.
- Silver Wheaton (NYSE:SLW[21]) plunged 5.3%.
- Silver Standard Resources (NASDAQ:SSRI[22]) moved down 3.7%.
As of this writing, Christopher Freeburn did not hold a position in any of the aforementioned securities. Adrian Ash of BullionVault[23] contributed to this report.
- [Image]: https://investorplace.com/wp-content/uploads/2011/10/PreciousMetalsRecap.gif
- CME Group: http://www.cmegroup.com
- BullionVault: https://investorplace.com/2013/01/weak-jobs-report-lessens-gold-slide/www.bullionvault.com
- GLD: http://studio-5.financialcontent.com/investplace/quote?Symbol=GLD
- IAU: http://studio-5.financialcontent.com/investplace/quote?Symbol=IAU
- SLV: http://studio-5.financialcontent.com/investplace/quote?Symbol=SLV
- GDX: http://studio-5.financialcontent.com/investplace/quote?Symbol=GDX
- GDXJ: http://studio-5.financialcontent.com/investplace/quote?Symbol=GDXJ
- SIL: http://studio-5.financialcontent.com/investplace/quote?Symbol=SIL
- AEM: http://studio-5.financialcontent.com/investplace/quote?Symbol=AEM
- ABX: http://studio-5.financialcontent.com/investplace/quote?Symbol=ABX
- EGO: http://studio-5.financialcontent.com/investplace/quote?Symbol=EGO
- GG: http://studio-5.financialcontent.com/investplace/quote?Symbol=GG
- KGC: http://studio-5.financialcontent.com/investplace/quote?Symbol=KGC
- NEM: http://studio-5.financialcontent.com/investplace/quote?Symbol=NEM
- NG: http://studio-5.financialcontent.com/investplace/quote?Symbol=NG
- AUY: http://studio-5.financialcontent.com/investplace/quote?Symbol=AUY
- CDE: http://studio-5.financialcontent.com/investplace/quote?Symbol=CDE
- HL: http://studio-5.financialcontent.com/investplace/quote?Symbol=HL
- PAAS: http://studio-5.financialcontent.com/investplace/quote?Symbol=PAAS
- SLW: http://studio-5.financialcontent.com/investplace/quote?Symbol=SLW
- SSRI: http://studio-5.financialcontent.com/investplace/quote?Symbol=SSRI
- BullionVault: http://www.bullionvault.com/
Source URL: https://investorplace.com/2013/05/gold-tumbles-below-1400-an-ounce/