- AustraliaNorth AmericaWorld
Weekly Round-Up: Gold Price Tumbles to Six-Month Low
The gold price dropped to a six-month low, post election.
Gold prices soared last Tuesday (November 8) during the election as Donald Trump was named the 45th president elect of the United States. Prior to Trump’s victory speech, the gold price reached $1,336.20 per ounce, but has since dropped off significantly.
By Friday, the gold price dropped over $100 per ounce from its election-high to $1,222.30 per ounce. Nearly one week after the election, early Monday, November 14, the gold price dropped to a six-month low to $1,212.90 per ounce on pressures of a stronger US dollar.
Metal Bulletin analyst Boris Mikanikrezai told the Bullion Desk that it’s likely precious metals will “continue to weaken,” and that an emerging US dollar, higher real interest rates are contributing factors. As of 1:25 p.m. EST on Monday, the gold price was $1,222.92 per ounce.
Looking over to the silver prices, the white metal has also dropped off significantly, post-election. Despite rising to $18.92 per ounce last Tuesday, the white metal dropped to $17.55 by Friday (November 11).
On Monday, the Economic Calendar reported that “precious metals have tanked” since the election as a result of Trump’s plan to decrease corporate taxes. With that in mind, the silver price fell significantly on Monday to just $16.91 per ounce as of 1:43 p.m. EST.
However, the election results haven’t impacted all metals in a negative light: on the base metals sector, copper prices rallied significantly last Wednesday (November 9), to $2.53 per pound–its biggest increase in one year.
Similarly, the Globe and Mail reported the price rally is copper’s strongest weekly surge in over 35 years
The Wall Street Journal noted the price rally came in part of “continued optimism” from Chinese demand and investors betting on demand picking up as a result of the election of Trump as president.
On Monday, the copper price rallied continued, rising to $2.57 per pound early in the morning before tailing off to $2.53 per pound, as of 1:50 p.m. EST.
Lastly, spot oil prices continued its decline last week, dropping from $45.34 per barrel on Wednesday to $43.12 per barrel on Friday.
By Monday, the oil price had dropped again, to $42.36 per barrel–a three month low–on concerns of oversupply. However, by 2:00 p.m. EST, the oil price had increased slightly to $43.11
Don’t forget to follow us @INN_Resource for real-time news updates.
Securities Disclosure: I, Jocelyn Aspa, hold no direct investment interest in any company mentioned in this article.
Weekly Round-Up: Gold Price Soars on US Election Fears
Weekly Round-Up: Gold Price Booms on US Data
Weekly Round-Up: Foreign Demand Bumps Up Gold Prices
Weekly Round-Up: Gold Price Inches Higher as US Dollar Drops
Weekly Round-Up: Gold Price Drops on Chinese Holiday
Weekly Round-Up: Gold Price Drops After Presidential Debate
Weekly Round-Up: Gold Price Rallies Slightly after FOMC Policy Delay
Weekly Round-Up: Gold Price Rallies on US Jobs Data