The price of gold has become one of the dominant themes in global markets over the past couple of years as the financial crisis unravelled. The Gold wrap reports on the latest trends in the price of the precious metal as well as factors influencing the demand for the safe haven asset.


Gold rebounds after dipping below $1,710

February 07 2012, 4:15pm
Gold rebounds after dipping below $1,710

Gold prices rallied this afternoon as bargain hunters stepped in after the yellow metal dipped below US$1,710. The yellow metal dropped yesterday and early in today’s session as the euro softened against the US dollar, which is seen as an alternative investment to gold.

The surge in the US dollar came as Greek policymakers failed to reach a deal to impose further austerity measures and secure more financial aid from the EU, which is necessary to keep it solvent.

Talks between Prime Minister Lucas Papademos and other leaders of the ruling coalition are currently ongoing.

Media reports suggested that the lawmakers were inching closer to an agreement on budget reforms, however, there have been no indications from lawmakers that a deal is imminent.

Traders dumped the euro amid the uncertainty, while seeking refuge in the safe-haven US dollar, leading to the decline in gold prices.

traded at US$1,736/oz, up US$17 from Monday’s close. Silver rose 20 cents to US$33.88/oz and platinum tacked on US$25 to reach US$1,636/oz.

Today’s top risers in the sector were:

KEFI Minerals (LON:KEFI), up 20.5 percent at 3.95 pence at midday

Metals Exploration (LON:MTL)
, up 10.5 percent at c13.41 pence

Central Rand Gold (LON:CRND), up 4 percent at 1.13 pence

Orsu Metals (LON:OSU), up 3 percent at 12.25 pence

The top fallers were:

Alecto Minerals (LON:ALO), down 12.5 percent at midday

Greatland Gold (LON:GGP)
, down 7.5 percent at 1.13 pence

Angel Mining (LON:ANGM), down 7 percent at 2.12 pence

GMA Resources (LON:GMA), down 5.5 percent at 0.245 pence

Advertisement Register here to be notified of future articles.
UK 100 - 1 year chart
UK 100 - 1 week chart

No investment advice

The Company is a publisher. You understand and agree that no content published on the Site constitutes a recommendation that any particular security, portfolio of securities, transaction, or investment strategy is suitable or advisable for any specific person. You further understand that none of the information providers or their affiliates will advise you personally concerning the nature, potential, advisability, value or suitability of any particular security, portfolio of securities, transaction, investment strategy, or other matter.

You understand that the Site may contain opinions from time to time with regard to securities mentioned in other products, including company related products, and that those opinions may be different from those obtained by using another product related to the Company. You understand and agree that contributors may write about securities in which they or their firms have a position, and that they may trade such securities for their own account. In cases where the position is held at the time of publication and such position is known to the Company, appropriate disclosure is made. However, you understand and agree that at the time of any transaction that you make, one or more contributors may have a position in the securities written about. You understand that price and other data is supplied by sources believed to be reliable, that the calculations herein are made using such data, and that neither such data nor such calculations are guaranteed by these sources, the Company, the information providers or any other person or entity, and may not be complete or accurate.

From time to time, reference may be made in our marketing materials to prior articles and opinions we have published. These references may be selective, may reference only a portion of an article or recommendation, and are likely not to be current. As markets change continuously, previously published information and data may not be current and should not be relied upon.