Gold cut away from a four-day rally on Monday as U.S. stocks and crude-oil surged. Silver fell also while platinum bucked the precious metals declines and climbed.
In New York trading futures for bullion:
Silver for July delivery fell 18 cents, or 1.3 percent, to $13.83 an ounce.
Gold for June lost $9.60, or 1.0 percent, to $921.70 an ounce.
- July platinum jumped $28.60, or 2.6 percent, to $1,137.60 an ounce.
"Safe-haven flows seem to have ebbed out of the gold market,"Jon Nadler, a senior analyst at Kitco Inc., was quoted on Bloomberg. "People see the gains in stocks and they think, ‘Let’s take a little bit of money off the gold table and put it into where the action is.’"
In spot bullion, the benchmark London gold fix price dropped $8.50 to $921.00 an ounce. Silver fell 13 cents to $13.79 an ounce. Platinum was fixed $1.00 lower to $1,108.00.
Gold, considered a hedge during times of high inflation and economic uncertainty, tends to follow oil and move opposite to the U.S. dollar. A rising greenback makes dollar-denominated commodities, like bullion, more expensive for holders of other world currencies.
Oil and gasoline prices
Oil prices soared on Monday. New York crude-oil for June delivery climbed $2.69, or 4.8 percent, to $59.03 a barrel. As for reasons, Morning Zhou from MarketWatch cited an "upbeat housing report" and concerns that a "militant unrest in Nigeria may disrupt supplies from Africa’s biggest oil producer."
Prices at the pump rose again from the day prior, but the increase was less fierce than recent days.The average price for unleaded gasoline increased three-tenths of a $2.311 a gallon, according to AAA. The price is 8.5 cents higher than a week ago.
Stocks surged Monday on "home improvement retailer’s upbeat outlook, a positive housing report and a Bank of America’s stock upgrade," wrote Ben Rooney from CNNMoney.com.
The Dow Jones industrial average gained 235.44 points, or 2.85 percent, at 8,504.08. The S&P 500 Index surged 26.83 points, or 3.04 percent, at 909.71. The Nasdaq Composite Index jumped 52.22 points, or 3.11 percent, at 1,732.36.