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COMEX Precious Metals Summary for February 9

2009-02-10View Original

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News from New York on February 9: Gold futures on the Comex closed below $900 on Monday, as optimism ahead of the announcement of economic stimulus measures in the U.S. reduced risk-on buying in the market, leading to profit-taking by investors. COMEX April gold closed down $21.50, or 2.4%, at $892.80 per ounce. The intraday trading range was between $913.40 and $891.90. As prices continue to fall, gold prices are under pressure from profit-taking selling, despite the weakening of the dollar today, said Thomas Winmill, portfolio manager at Midas Fund. Traders are waiting for the United States to **announce a large-scale economic stimulus plan. The Senate is scheduled to vote on the economic stimulus package later Monday, paving the way for its approval on Tuesday. As of the week ending February 3, net non-commercial long positions increased by 10% to 155,306, but open contracts decreased by 2% to 346,288, according to a report by the Commodity Futures Trading Commission (CFTC). A large influx of investment funds has supported gold prices. SPDR Gold Trust GLD.N, the world’s largest gold trading fund, said that as of February 6, its gold holdings remained at a record high of 867.19 tons. At 1800 GMT, COMEX estimated trading volume at 91,038 contracts. The option trading volume was 5,588. As of February 6, the number of open contracts for COMEX gold increased by 3,172, reaching 352,071. Spot gold was at $895.25 per ounce, down 1.8% from its close on Friday. The afternoon closing price for London gold was $895. In March, silver futures closed down 33.0 cents, or 2.5%, at $12.830 per ounce. The trading range was $12.785 to $13.115, close to the four-month high of $13.180. The estimated volume of transactions is 13,805 units. Spot silver closed at $12.88 per ounce, down 1.4% from the close in New York on Friday. The afternoon closing price in London was $13.01. In April, platinum closed down by $8.40, trading at $995.90 per ounce. Spot platinum was trading at $983.50 per ounce, down 1.6% from the close of the previous trading day. Palladium futures closed down $7.50, or 3.5%, at $205.85 per ounce in March. Spot palladium was trading at $206.50 per ounce, down 1.7% from the previous trading day. Haixin Steel Information Network (http://www.hxsteel.cn)

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