1st LD Writethru: Gold down on stronger U.S. equities, despite weaker dollar
Xinhua, March 8, 2016 Adjust font size:
Gold futures on the COMEX division of the New York Mercantile Exchange fell slightly on Monday as U.S. equities showed strength midday.
The most active gold contract for April delivery fell 6.7 U.S. dollars, or 0.53 percent, to settle at 1,264.00 dollars per ounce.
Gold was put under pressure as the U.S. stocks pared early losses to trade higher around midday Monday, as Wall Street cheered over the continued rebound in oil prices.
Analysts noted that when equities post losses, the precious metal usually goes up, as investors are looking for a safe haven, while the opposite is true when U.S. equities post gains.
The gold futures also retreated on technical selling as gold climbed more than 4 percent last week, and some analyst said that gold was overheated.
The precious metal was prevented from falling further as the U.S. dollar decreased against most major peers on Monday.
Low volume and no news were the feature of the day, and traders are waiting for further indication on what direction the energy market will go.
Silver for May delivery fell 6.1 cents, or 0.39 percent, to close at 15.633 dollars per ounce. Platinum for April delivery added 15.7 dollars, or 1.59 percent, to close at 1,002.00 dollars per ounce. Endit