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Thursday 7 October 2010

Gold settles at record, takes aim at $1,350

By Claudia Assis and Myra P. Saefong

SAN FRANCISCO (MarketWatch) — Gold futures on Wednesday settled at their 14th record high in less than a month, on the back of a weaker dollar and continued fears about inflation and currency debasement.

Investors flocked to gold but didn’t forget silver, which topped $23 an ounce to hit a fresh 30-year high, and palladium, which reached its highest settlement in more than nine years. Copper settled at its best in more than two years, and platinum finished at multimonth highs.

Gold for December delivery advanced $7.40, or 0.6%, to end at $1,347.70 an ounce on the Comex division of the New York Mercantile Exchange.

The contract hit an intraday high of $1,351 an ounce earlier Wednesday. It gained $23.50 in New York trading to close at a record $1,340.30 on Tuesday.

“Gold and other precious metals still appear to be on an unstoppable high run,” analysts at Commerzbank said in a note to clients Wednesday. “The present momentum suggests that prices will continue rising in the near term.”

Gold and other metals are bound to rally as the dollar “continues to be dismantled by traders around the globe,” said Adam Klopfenstein, a senior market strategist with Lind-Waldock in Chicago. “But next week we could see a pullback to test everyone’s mettle, no pun intended.”

The dollar index /quotes/comstock/11j!i:dxy0 (DXY 77.51, +0.13, +0.16%) , which compares the U.S. unit to a basket of six other currencies, was down 0.4% to 77.44. Gold and other metals also kept its momentum on the heels of the Bank of Japan’s surprise interest-rate cut on Tuesday.

The Japanese central bank voted unanimously to cut its policy interest-rate range to between zero and 0.1% and pledged to maintain its easy policy until prices stabilize. Read full report on Bank of Japan’s rate cut and easing measures.
Japan returns key rate to nearly-zero

The Bank of Japan caught markets by surprise with a $418 billion program to spur economic growth and cutting interest rates to virtually zero, with ramifications rippling across financial markets around the world.

Investors hope the Bank of Japan’s move would pave the way for interest-rate cutting around the world and prompt the U.S. Federal Reserve to engage in a further round of monetary easing. The dollar has weakened as a result — helping gold notch 13 record highs in less than a month.

Meanwhile, silver for December delivery /quotes/comstock/21e!f1:si\z10 (SIZ10 2,324, +19.20, +0.83%) rose 31 cents, or 1.4%, to $23.04 an ounce.

December copper /quotes/comstock/21e!f:hg\z10 (HGZ10 377.00, +1.70, +0.45%) added 3 cents, or 0.7%, to $3.75 a pound. That’s copper highest close since mid-July, 2008.

January platinum /quotes/comstock/21n!f2:pl\f11 (PLF11 1,716, +4.00, +0.23%) advanced $11.30, or 0.7%, to $1,712 an ounce. It was platinum’s highest settlement since May 14, when the most-active contract closed at $1,715.40 an ounce.

Palladium for December delivery /quotes/comstock/21n!f:pa\z10 (PAZ10 589.50, -0.15, -0.03%) advanced $11.45, or 2%, to $589.65 an ounce. That’s palladium’s highest settlement since July 2001. 

sumber : MarketWatch dot com

1 komentar:

Investing in gold is the best idea. we could profit about 25% - 35% every year if we converse our fresh money become gold. but if we save our money in teh bank, we only get about 10% per year. but we got administration fee and inflation about 7-8% / year.

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