Rising equities markets around the world undercut gold’s attractiveness to investors, sending the precious metal down in Monday trading.
The Dow Jones Industrial Average and S&P 500 hit record highs early in the session — with the DJIA breaking through the 16,000 mark for the first time ever. However, gains sputtered in the afternoon and the DJIA closed below its high mark, while the S&P 500 drifted into negative territory. Equities markets in Europe closed higher.
Gold futures for December delivery dropped 1.2% to $1,272.30 per ounce on Monday, according to CME Group. Gold traded as high as $1,289.20 and as low as $1,269.20. Bullion closed in London at $1,276, according to BullionVault.
Silver futures for December fell 1.8% to $20.36 per ounce. Monday’s high for silver was $20.80, while the low was $20.29.
Metal funds pulled back in Monday trading.
- The SPDR Gold Shares (GLD) sank 1.1%.
- The iShares Gold Trust (IAU) slid 1%.
- The iShares Silver Trust (SLV) declined 1.7%.
Mining ETFs moved lower during the day.
- The Market Vectors Gold Miners ETF (GDX) fell 1.9%.
- The Market Vectors Junior Gold Miners ETF (GDXJ) dropped 2%.
- The Global X Silver Miners ETF (SIL) slipped 1.7%.
Gold stocks sank on Monday.
- Agnico-Eagle Mines (AEM) dropped 3.5%.
- Barrick Gold (ABX) fell 2.2%.
- Eldorado Gold (EGO) declined 3.2%.
- Goldcorp (GG) dipped 0.7%.
- Kinross Gold (KGC) slid 3.5%.
- Newmont Mining (NEM) moved down 2.7%.
- NovaGold Resources (NG) tumbled 3.8%.
- Yamana Gold (AUY) pulled back 1.7%.
Silver mining shares declined during the day.
- Coeur d’Alene Mines (CDE) waned 2.3%.
- Hecla Mining (HL) dropped 3.2%.
- Pan American Silver (PAAS) fell 2.1%.
- Silver Wheaton (SLW) sank 2.2%.
- Silver Standard Resources (SSRI) decreased 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.