Gold futures had their best day in a fortnight Wednesday on speculation that the Federal Reserve will delay slashing fiscal stimulus amid the first U.S. government shutdown in 17 years, stoking demand for the metal as a store of value.
December gold soared 2.7% to finish at US$1,320.70 an ounce on the Comex division of the New York Mercantile Exchange. In the spot market the yellow metal last traded at US$1316 an ounce.
The rise in the gold price and the fall in the Australian dollar verse the U.S. dollar, pushes the bullion price to around A$1410 an ounce in the local currency.
Gold stocks to watch on the Australian Stock Exchange today include Silver Lake Resources (ASX:SLR), Millennium Minerals (ASX:MOY), ABM Resources (ASX:ABU), Medusa Mining (ASX:MML) and Newcrest Mining (ASX:NCM).
In other metals, December silver rose 3.4% to US$21.90 an ounce. January platinum inched up 0.6% to US$1,393.40 an ounce after yesterday’s 1.9% decline, while December palladium tacked on 0.3% to US$721.20 an ounce.
Copper for December delivery rose 1.3% to finish at US$3.32 a pound.
Proactive Investors Australia is the market leader in producing news, articles and research reports on ASX “Small and Mid-cap” stocks with distribution in Australia, UK, North America and Hong Kong / China.