Weekly Round-Up: Gold and Silver Drop as US Economy Gathers Steam

Specifically, spot gold was down $3.75, or 0.3 percent, at $1,251.25 an ounce, having hit a low of $1,250.20 earlier in the day — that’s the lowest it has been since February, Reuters notes. Meanwhile, US gold futures for June delivery decreased by $5.70, or 0.5 percent, to $1,251.70.

“With the U.S. economy showing robust recovery signs … investors will be more attracted to the likes of equities, or even platinum group and base metals, given the more appealing fundamentals linked to the industrial growth recovery,” VTB Capital analyst Andrey Kryuchenkov told the news outlet.

Likewise, spot silver prices are down $0.06, or 0.3 percent, at $18.91 an ounce, according to the publication. CME Group places silver futures for June delivery at $18.96 an ounce; that’s a decline of $0.02, or 0.1 percent.

Copper, on the other hand, has seen some positive moves. The red metal is up $13.79, at $6,898.25 a tonne, on the London Metal Exchange, The Wall Street Journal reported. Traders, however, are cautious due to uncertainty about China’s manufacturing purchasing managers index.

“China is still the focus of metals market,” said Richard Fu, head of Asian commodities trading at Newedge. “The metals prices are trying to find the next direction.”

COMEX copper futures for June delivery are trading down $0.008, or $0.25, at $3.13 a pound, as per NASDAQ.

Finally, Brent crude is down by $0.50, or 0.45 percent, at $109.47 a barrel, another Reuters article states. It is still up 2 percent for the month and has been staying high due to supply worries and strong oil demand in the US.

Related reading: 

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