Gold was trading in a $1,692-$1,716 range in London and early New York trading Monday, having spiked from around $1,662 to the $1,690 level in electronic trading and Asia-Pacific trading overnight.

Safe-haven buying was on investors and traders’ minds as the European Central Bank bought Italian and Spanish bonds on a massive scale to stave off another crisis, according to market reports. Rumors that France’s debt might be on the verge of a downgrade, along with S&P downgrading the credit rating of the United States from AAA to AA+, added to demand for precious metals.

Gold was set at $1,693 at the London PM fix and was trading at $1,704.60 Bid, $1,705.60 Ask on Monday morning. Silver was set at $39.86 in the London AM and was trading at $39.53 Bid, $39.63 Ask.

Gold and silver trusts were sharply higher early Monday.

• The SPDR Gold Trust (NYSE:GLD) was up nearly 2.5%.
• The iShares Gold Trust (NYSE:IAU) was 2.47% higher.
• The iShares Silver Trust (NYSE:SLV) was up more than 3%.

Gold and silver mining ETFs were mixed.

• The Market Vectors Gold Miners ETF (NYSE:GDX) was moving around 0.9% higher.
• The Market Vector Junior Gold Miners ETF (NYSE:GDXJ) was flat to slightly down.
• The Global X Silver Miners ETF (NYSE:SIL) was trading around 3.6% lower.

Shares of gold miners were broadly higher, with NovaGold Resources the exception.

• Agnico Eagle Mines (USA) (NYSE:AEM) was moving between gains of 2% and 2.3%.
• Barrick Gold Corp. (NYSE:ABX) was trading 1.15% higher.
• Goldcorp (NYSE:GG) was moving up around 2.2%.
• Newmont Mining Corp. (NYSE:NEM) was up around 2.9%.
• *NovaGold Resources (USA) (AMEX:NG) was down more than 1.3%.

Silver mining shares were sharply lower and volatile.

• Coeur D’Alene Mines Corp. (NYSE:CDE) was down sharply trading around 7.2% lower.
• Hecla Mining (NYSE:HL) was trading between 1.9% and 2.4% lower.
• Pan American Silver Corp. (USA) (NASDAQ:PAAS) was down around 2.4%.
• Silver Wheaton Corp. (USA) (NYSE:SLW) was moving lower, down between 2.6% and 2.9%.
• Silver Standard Resources Inc. (USA) (NASDAQ:SSRI) was around 1.9% lower.

The author does not hold positions in any of the above-mentioned investments.