By Pham-Duy Nguyen
Oct. 28 (Bloomberg) -- Gold futures fell in New York as the dollar climbed, diminishing the appeal of the precious metal as an alternative investment. Silver also declined.
The dollar rose as much as 1.1 percent against a weighted basket of six major currencies. Before today, gold dropped 11 percent this year, while the dollar gained 13 percent.
``The dollar is the most dominant force in the gold market,'' said Frank McGhee, the head dealer at Integrated Brokerage Services in Chicago. ``Gold is suffering from a stronger dollar.''
Gold futures for December delivery fell 90 cents to $742 an ounce at 9:36 a.m. on the Comex division of the New York Mercantile Exchange. Earlier, the price dropped as much as 2.5 percent. The metal reached a record $1,033.90 on March 17.
Silver futures for December delivery declined 21 cents, or 2.3 percent, to $8.985 an ounce. Before today, the price fell 38 percent this year.
To contact the reporter on this story: Pham-Duy Nguyen in Seattle at pnguyen@bloomberg.net.
Tuesday, October 28, 2008
Gold Futures Fall in N.Y. as Dollar Strengthens; Silver Drops
Subscribe to:
Post Comments (Atom)
Posts
No comments:
Post a Comment