Gold Surges to Nominal Record Levels as Investors Flock to Safe Haven

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Gold surged to new nominal record highs near $1,828 per ounce in London and early New York trading Thursday as safe-haven demand continued to feed on investors’ concerns about weakening economic conditions in the United States and the EU’s ongoing sovereign budget and debt problems.

U.S. weekly jobless claims again rose above 400,000 for the week ended July 13, though the four-week moving average fell to its lowest level since mid-April. Consumer price inflation as measured by the CPI rose a greater than expected 0.5% in July, at its fastest rise since March.

Spot gold was trading at $1,822.80 Bid, $1,823.80 Ask early Thursday, up $33.80, or 1.89% on the day. Spot silver was trading at $40.63 Bid, $40.73 Ask, up $0.40, or nearly 1%. The London p.m. gold fix came in at $1,824 per ounce, nearly $30 above the a.m. fix, while silver was fixed at $40.32 in the London a.m., according to Kitco market data.

On the exchanges, gold trusts were sharply higher.

  • The SPDR Gold Trust (NYSE:GLD) was up around 1.8%.
  • The iShares Gold Trust (NYSE:IAU) was about 1.7% higher.
  • The iShares Silver Trust (NYSE:SLV) was nearly 0.6% higher.

The gold and silver miners ETFs were moving lower early Thursday.

  • The Market Vectors Gold Miners ETF (NYSE:GDX) was down more than 0.5%.
  • The Market Vector Junior Gold Miners ETF (NYSE:GDXJ) was 2.25% lower.
  • The Global X Silver Miners ETF (NYSE:SIL) was nearly 3% lower.

Shares of gold miners were lower, with NovaGold Resources up sharply.

  • Agnico Eagle Mines (USA) (NYSE:AEM) was down less than 0.1%.
  • Barrick Gold Corp. (NYSE:ABX) was more than 1.2% lower.
  • Goldcorp (NYSE:GG) was more than 1.1% lower.
  • Newmont Mining Corp. (NYSE:NEM) was down around 0.1%.
  • NovaGold Resources (USA) (AMEX:NG) was up around 2.5%.

Silver mining shares were mostly down, with Hecla Mining defying the group.

  • Coeur D’Alene Mines Corp. (NYSE:CDE) was around 3.7% lower.
  • Hecla Mining (NYSE:HL) was more than 1.5% higher.
  • Pan American Silver Corp. (USA) (NASDAQ:PAAS) was down 0.15%.
  • Silver Wheaton Corp. (USA) (NYSE:SLW) was about 1.6% lower.
  • Silver Standard Resources Inc. (USA) (NASDAQ:SSRI) was down around 1.7%.

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


Article printed from InvestorPlace Media, https://investorplace.com/2011/08/gold-record-prices-silver-prices-trusts-miners/.

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