Gold Falls on Better December Retail Sales

Silver slipped and miners mostly retreated

   

Gold Silver GLD IAU SLVGold sank in Tuesday trading, snapping a three-session streak of gains. The metal fell after the government reported better-than-expected sales at U.S. retailers last month.

The Commerce Department said that U.S. retail sales climbed 0.2% in December. That surprised economists who had forecast a 0.1% decline in retail sales. Subtracting automotive sales, retail activity rose 0.7%. Economists had anticipated a 0.4% increase in retail sales when auto sales were excluded. Equities markets and the U.S. dollar rallied on the news.

All That Glitters Is Not Goldcorp – GG
All That Glitters Is Not Goldcorp – GG

Gold futures for February delivery slipped 0.5% to $1,245.40 per ounce on Tuesday, according to CME Group. Gold traded as high as $1,254.90 and as low as $1,241.10. Bullion closed in London at $1,246, according to BullionVault.

Silver futures for March delivery fell 0.5%, to $20.28 per ounce. Tuesday’s high for silver was $20.67, while the low was $20.13.

Metal funds declined on Tuesday.

  • The SPDR Gold Shares (GLD) slipped 0.9%.
  • The iShares Gold Trust (IAU) fell 0.9%.
  • The iShares Silver Trust (SLV) dropped 1.2%.

Mining ETFs retreated during the day.

  • The Market Vectors Gold Miners ETF (GDX) slid 2.4%.
  • The Market Vectors Junior Gold Miners ETF (GDXJ) sank 2.3%.
  • The Global X Silver Miners ETF (SIL) fell 1.4%.

Gold stocks mostly pulled back on Tuesday.

  • Agnico-Eagle Mines (AEM) dropped 2.9%.
  • Barrick Gold (ABX) slid 2%.
  • Eldorado Gold (EGO) sank 3.8%.
  • Goldcorp (GG) fell 3.5%.
  • Kinross Gold (KGC) declined 2.6%.
  • Newmont Mining (NEM) moved down 2%.
  • NovaGold Resources (NG) tumbled 5.1%.
  • Yamana Gold (AUY) gained 0.8%.

Silver mining shares slumped during the day.

  • Coeur d’Alene Mines (CDE) fell 3.2%.
  • Hecla Mining (HL) slipped 2.2%.
  • Pan American Silver (PAAS) dropped 1%.
  • Silver Wheaton (SLW) faded 2%.
  • Silver Standard Resources (SSRI) declined 3%.

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/2014/01/gold-retail-sales/.

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