Gold and Silver Climb Higher on Dollar Weakness
By Eric McWhinnie | March 20, 2012 6:08 AM EST
Both precious gained as the U.S. dollar (NYSE:UUP) declined against the euro for the third consecutive trading session. Marc Chandler, global head of currency strategy at Brown Brothers explained, “The fact that the euro held support near $1.30 is important. That is the bottom of the $1.30 to $1.35 trading range that has confined the euro through most of the first quarter. There is scope for the euro test the $1.325-$1.330 area in the days ahead.”
Don’t Miss: Should Investors Sweat Gold’s Losing Streak?
The U.S. dollar index continues to have trouble maintaining a price above 80. Last week, the index closed at 79.78, as consumer sentiment for March and industrial production data for February disappointed investors before the weekend.
In afternoon trading, the SPDR Gold Trust (NYSEARCA:GLD) edged .15 percent higher, while the iShares Silver Trust (NYSEARCA:SLV) jumped 1.6 percent. Gold miners (NYSEARCA:GDX) as Goldcorp Inc. (NYSE:GG) traded .40 percent higher, while Newmont Mining (NYSE:NEM) traded flat. Silver miner (NYSEARCA:SIL) Hecla Mining (NYSE:HL) surged more than 3 percent. Silver Wheaton Corp. (NYSE:SLW) and Endeavour Silver (NYSE:EXK) both gained about .40 percent.
According to a Bloomberg survey on Friday, 13 out of 26 analysts expect gold prices to increase this week and four held a neutral stance, the lowest proportion in about two months. This comes a week after Commodity Futures Trading Commission data showed a 20 percent decrease in net long futures positions held by speculators.
Investor Insight: Silver Goes Green
If you would like to receive professional analysis on equity miners and other precious metal investments, we invite you to try our premium service free for 14 days.
To contact the reporter on this story: Eric McWhinnie at firstname.lastname@example.org
To contact the editor responsible for this story: Damien Hoffman at email@example.com
Most Popular Slideshows
- Gennady Golovkin Next Fight Options: Canelo Alvarez, Miguel Cotto Or Julio Cesar Chavez Jr.
- NFL MNF: Pittsburgh Steelers 30, Houston Texans 23 [PHOTOS]
- 2014 MLB World Series Game 1: San Francisco Giants 7, Kansas City Royals 1 [PHOTOS]
- 2014 MLB World Series - Game 2: Kansas City Royals 7, San Francisco Giants 2 [PHOTOS]
Join the Conversation
- No Mercy: ISIS, Father Stones to Death Daughter for Alleged Adultery
- Boy Stoned To Death For Alleged Rape, Victim Receives Dowry From Militants
- ASUS Releases A Teaser Indicating The Arrival of New Zenfone and ZenWatch On October 28
- Russia is Creating Underwater Combat Robots to Protect its Arctic Territories
- iOS 8 Jailbreak Release Date is Doomed as Team Evad3rs Opts Out, Pangu Hits Snag – Report
- Google Nexus 6 vs. iPhone 5S: 4 Important Things to Consider Before Switching to Android Lollipop
- Swedish Military Spots ‘Russian Submarine’ Off Stockholm Coast, An Alarming ‘Security Game Changer’