NEW YORK: Gold prices fell Wednesday after a three-day winning streak as the dollar rebounded against the euro.
Gold futures for June delivery dropped $6.50, or 0.7%, to $871.20 an ounce on the Comex division of the New York Mercantile Exchange. The price gained 3.1% in the previous three sessions.
Silver futures for July delivery declined 16.5 cents, or 1%, to $16.695 an ounce. The price gained 0.6% in the past week and 22% in the past 12 months.
Silver will average $15.76 this year and $12.80 in 2009, UBS said today in a quarterly report. Futures averaged $13.47 in 2007.
The dollar rose on speculation the Federal Reserve may raise interest rates to curb inflation. Gold has climbed 26% in the past year, reaching a record $1033.90 an ounce on March 17, after sliding borrowing costs sent the dollar to an all-time low against the euro.
The dollar rose as much as 1.1% today against the euro after dropping 0.7% in the previous two sessions. The Fed cut interest rates 3.25 percentage points to 2% from September to April. The euro hit $1.6019 on April 22, the highest ever. The currency traded as low as $1.5366 today.
Gold rallied 31% last year when consumer prices rose 4.1%, the most since 1990. Crude-oil futures climbed to a record for a third time this week, touching $123.56 a barrel.
Subscribe to:
Post Comments (Atom)
No comments:
Post a Comment