Gold futures posted steep losses on Monday amid broad-based liquidation in financial markets. The COMEX February 2012 contract settled lower by $48.60, or 2.8%, at $1,668.20 per ounce – the lowest settlement for an actively-traded contract since October 24, seven weeks ago.
The yellow metal steadily declined in overnight and morning trading, reaching an intra-day low of $1,660.30 at approximately 10:22am ET. Gold futures subsequently stabilized in the $1,660-$1,670 range for the remainder of the day.
The sell-off in gold futures was fueled by a substantial 1.2% rebound in the U.S. dollar against a basket of the world’s leading currencies. The euro retreated 1.5% to 1.3164 this afternoon – its lowest level since early October of this year – at which time the European currency bounced back significantly in the weeks following.
The euro’s weakness came as Moody’s Investors Service published a report contending that measures announced at last week’s European Union summit provided little in the way of concrete solutions to address the escalating sovereign debt crisis.
As for other precious metals, silver headed south alongside gold futures, with the February 2012 contract tumbling $1.25, or 3.9%, to $31.00 per ounce. Platinum futures slipped 1.9% to $1,486.90 per ounce, while palladium fell 3.4% to $663.00 per ounce.
Among cyclical commodities, copper dropped 2.6% to $3.46 per pound and crude oil was lower by 1.5% at $97.94 per barrel this afternoon.
Aurizon Mines Advances Duvay Gold Project
- The current field operations at Duvay are centered around a mini-bulk sampling program and drilling
- The first two pit sample concentrates have been shipped to an independent laboratory for analysis by fire assay; processing of the third mini-bulk sample has commenced
- Results from the first 13 hole drill program included the intersection of 83.19 grams per tonne of gold over 1.0 meters.
