Investor Alert

New York Markets Close in:

Metals Stocks Archives | Email alerts

Aug. 16, 2022, 2:12 p.m. EDT

Gold prices log back-to-back losses, hold below $1,800 an ounce

Watchlist Relevance

Want to see how this story relates to your watchlist?

Just add items to create a watchlist now:

  • X
    Gold Dec 2022 (GCZ22)

or Cancel Already have a watchlist? Log In

By Myra P. Saefong and Joseph Adinolfi

Gold prices softened for a second day on Tuesday, with the most-active futures contract for the yellow metal marking another settlement at the lowest level in more than a week, as the U.S. dollar held onto the bulk of its recent gains.

Price action

  • December gold futures /zigman2/quotes/210039517/delayed GCZ22 -0.04% fell $8.40, or 0.5%, to settle at $1,789.70 per ounce on Comex after losing 1% on Monday. Prices based on the most-active contract ended at their lowest since Aug. 5, FactSet data show.

  • September silver declined by 19 cents, or 0.9%, to $20.085 per ounce.

  • Palladium prices for September delivery retreated $9.30, or 0.4%, to $2,149 per ounce, while October platinum prices /zigman2/quotes/228424980/delayed PLV22 -1.39% shed $2.30, or nearly 0.3%, to $931.30 per ounce.

  • Copper for September delivery added a penny, or 0.2%, to settle at $3.6245 per pound. Prices fell Monday amid a broad-based selloff in industrial metals and oil.

What analysts are saying

Gold prices have softened this week, with the yellow metal holding below the key $1,800 per ounce level for a second session, leaving it on track to snap its longest streak of weekly gains since December.

“The fact that gold isn’t shedding too much of its recent gains could be a positive sign over the medium term, although it would have to overcome what has become a strong barrier of resistance this past week,” said Craig Erlam, senior market strategist at OANDA.

The ICE U.S. Dollar Index /zigman2/quotes/210598269/delayed DXY +0.90% , a gauge of the dollar’s strength against a basket of rivals, was down 0.1%, but still up nearly 0.8% for the week so far, while the 10-year Treasury yield /zigman2/quotes/210369575/delayed TY00 -0.42% gained four basis points to 2.827%.

U.S. interest-rate hike expectations by the Federal Reserve for September have swung in favor of a “less aggressive” 50 basis point hike, “but I’m not convinced that will cap the dollar, particularly if the greenback garners additional safe-haven interest”, said Peter Grant, vice president and the senior metals strategist at Zaner Metals LLC and Tornado Precious Metals Solutions, in a late Monday newsletter.

“This is where any disbelief that we are already in recession could get the Fed in trouble,” he said. “We’ll get to see the minutes of the July [Federal Reserve] meeting on Wednesday.”

Among economic data released Tuesday, construction on new U.S. homes fell a seasonally adjusted 9.6% in July to 1.45 million, the lowest level since early 2021. U.S. industrial production rose 0.6% in July, with the gain coming in above Wall Street expectations for a 0.3% increase, according to a survey by The Wall Street Journal.

Hear from Ray Dalio at the Best New Ideas in Money Festival on Sept. 21 and Sept. 22 in New York. The hedge-fund pioneer has strong views on where the economy is headed .

US : U.S.: Nymex
$ 1,720.10
-0.70 -0.04%
Volume: 126,750
Oct. 6, 2022 2:12p
US : U.S.: Nymex
$ 930.60
-13.10 -1.39%
Volume: 21.00
Oct. 5, 2022 3:46p
US : U.S.: ICE Futures U.S.
+1.00 +0.90%
Volume: 0.00
Oct. 6, 2022 2:12p
$ 112.06
-0.47 -0.42%
Volume: 1.09M
Oct. 6, 2022 1:12p

This Story has 0 Comments
Be the first to comment
More News In

Story Conversation

Commenting FAQs »

Partner Center

Link to MarketWatch's Slice.