Gold prices fell sharply in Wednesday trading after Federal Reserve Chairwoman Janet Yellen made positive remarks about the U.S. economy and Russia’s president appeared to ease tensions over Ukraine.
Appearing before Congress, Yellen said that the U.S. economy will shrug off a weak first-quarter start and improve during the rest of the year. Meanwhile, Russian President Vladimir Putin said he would order Russian troops to pull back from Ukraine’s border. Putin also called on pro-Russia separatists in Ukraine to delay a planned vote on secession.
It was another down day for gold miners, with NovaGold (NG) and Eldorado Gold (EGO) falling the hardest. NovaGold tumbled more than 8%, while EGO stock sank 4%.
Gold futures for June delivery dropped 1.5% to $1,288.90 per ounce on Wednesday, according to CME Group. Gold prices were as high as $1,315 and as low as $1,286.60. Bullion closed in London at $1,292, according to BullionVault.
Silver futures for July delivery also sank 1.5% to $19.34 per ounce. Wednesday’s high for silver was $19.77, while the low was $19.30.
Here’s how metal-based funds and mining stocks fared on Wednesday:
Gold and Silver Funds
- The SPDR Gold Shares (GLD) fell 1.4%.
- The iShares Gold Trust (IAU) slid 1.4%.
- The iShares Silver Trust (SLV) sank 1.2%.
Gold and Silver Mining ETFs
- The Market Vectors Gold Miners ETF (GDX) declined 1.9%.
- The Market Vectors Junior Gold Miners ETF (GDXJ) dropped 3.4%.
- The Global X Silver Miners ETF (SIL) fell back 1.9%.
Gold Miners
- Agnico Eagle Mines (AEM) slipped 1%.
- Barrick Gold Corporation (ABX) fell 1%.
- EGO stock dropped 4%.
- Goldcorp (GG) sank 1.7%.
- Kinross Gold (KGC) slid 2.2%.
- Newmont Mining (NEM) declined 2.4%.
- NovaGold plunged 8.2%.
- Yamana Gold (AUY) faded 1.2%.
Silver Miners
- Coeur d’Alene Mines (CDE) fell 2.7%.
- Hecla Mining (HL) dipped 0.7%.
- Pan American Silver (PAAS) dropped 3%.
- Silver Wheaton (SLW) sank 2.1%.
- Silver Standard Resources (SSRI) tumbled 4.2%.
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.
