Gold, Silver Down Sharply on News of Jobs, Stimulus Package

Gold was moving lower in early trading Wednesday. Word that President Barack Obama will announce a $300 billion job creation and economic stimulus package — along with news that the German parliament validated the legality of the Greek bailout package and the creation of the European Financial Stability Facility — sent stock markets higher but might have taken some of the luster off gold.

Spot gold was down some $61.70 an ounce, 3.29% lower Wednesday morning, having hit a high of $1,839.20 and a low of $1,800.80, according to Kitco market data. The London p.m. price fix came in at $1,810, according to the LBMA.

Spot silver was down $1, or 2.38% per ounce, having hit a high of $41.21 and a low of $40.24. The London a.m. price fix was set at $40.98 per ounce.

Gold and silver trusts were off sharply in exchange trading early Wednesday.

  • The SPDR Gold Trust (NYSE:GLD) was off more than 4%.
  • The iShares Gold Trust (NYSE:IAU) was down nearly 4.1%.
  • The iShares Silver Trust (NYSE:SLV) was around 3.3% lower.

Gold and silver mining ETFs were moving lower as well.

  • The Market Vectors Gold Miners ETF (NYSE:GDX) was around 1.8% lower.
  • The Market Vector Junior Gold Miners ETF (NYSE:GDXJ) was down some 2.7%.
  • The Global X Silver Miners ETF (NYSE:SIL) was off more than 1.6%.

Shares of gold miners were showing sharp losses, with NovaGold Resources especially hit hard.

  • Agnico Eagle Mines (USA) (NYSE:AEM) was down 1.9%.
  • Barrick Gold Corp. (NYSE:ABX) was down around 1.9%.
  • Goldcorp (NYSE:GG) was around 1.8% lower.
  • Newmont Mining Corp. (NYSE:NEM) was nearly 3.9% lower.
  • NovaGold Resources (USA) (AMEX:NG) was off more than 6.7%.

Silver miners’ shares were also moving lower early Wednesday.

  • Coeur D’Alene Mines Corp. (NYSE:CDE) was nearly 2.9% lower.
  • Hecla Mining (NYSE:HL) was around 4% lower.
  • Pan American Silver Corp. (USA) (NASDAQ:PAAS) was off nearly 2.5%.
  • Silver Wheaton Corp. (USA) (NYSE:SLW) was down about 2.5%.
  • Silver Standard Resources Inc. (USA) (NASDAQ:SSRI) was around 3.5% lower.

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

Article printed from InvestorPlace Media,

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