Gold jumped to a fresh record for a third straight day and touched above $1,060 an ounce as the US dollar continued to show weakness. Silver and platinum prices surges also, as did oil which closed above $71 a barrel and to a two-week high. US stocks rallied toward 2009 highs.
New York precious metals figures follow:
Silver for December delivery gained 31.5 cents, or 1.8 percent, to $17.815 an ounce. It ranged from $17.530 to $17.995.
Gold for December delivery added $11.90, or 1.1 percent, to $1,056.300 an ounce. The yellow metal ranged from $1,043.80 to $1,062.70.
- October platinum advanced $25.50, or 1.9 percent, to $1,346.00 an ounce.
The most notable bullion quotes of the day follow:
"The fact that the gold price broke through the old high of March 2008 is obviously attracting financial investors to the gold market," analysts at Commerzbank were quoted on MarketWatch.
"People are interested in gold now, Ron Goodis, an Equidex Brokerage Group Inc. director of retail trading, was quoted on Bloomberg. "They see the government print money, they’re concerned about the dollar’s value and they’re anticipating inflation. Gold is driving higher on this wall of worry."
In London bullion, the benchmark gold price was fixed earlier in the day to $1,045.00 an ounce, which was a $4.75 increase. Silver was at $17.80 an ounce for a 40 cent gain. Platinum was set higher by $12.00 to $1,335.00 an ounce.
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 soared "pacing broad gains in commodities with gold hitting another record, as dollar weakness and rising U.S. stock markets attracted investors into the futures markets," wrote Moming Zhou and Polya Lesova of MarketWatch.
"Crude oil is tracking the behavior of other markets," Bill O’Grady, chief market strategist at Confluence Investment Management in St. Louis, was quoted on Bloomberg. "The jobs number was good. The recession is probably over and employment is a lagging indicator."
New York crude-oil for November delivery climbed $2.12, or 3.0 percent, to $71.69 a barrel.
The national average for unleaded gasoline rose three-tenths of a cent to $2.468 a gallon, according to AAA fuel data. The price is one-tenth of a cent lower than last week, 11 cents down from a month back, and 98 cents less than a year ago.
U.S. stocks rallied "with the major indexes flirting with 2009 highs, after Dow component Alcoa posted better-than-expected earnings and revenue and a report showed an unexpected drop in jobless claims," wrote Alexandra Twin of CNNMoney.com. New jobless claims rose by 521,000 last week, down from the prior week 554,000.
"The stock rally should continue into the fourth quarter," said Tom Wirth, senior investment officer at Chemung Canal Trust Co., which manages $1.6 billion in Elmira, New York. "Alcoa sent a very good indication for the overall earnings season. Commodities companies are early-cycle plays. That’s another indication that things are getting better."
The Dow Jones industrial average rose 61.29 points, or 0.63 percent, to 9,786.87. The S&P 500 Index advanced 7.90 points, or 0.75 percent, to 1,065.48. The Nasdaq Composite Index climbed 13.60 points, or 0.64 percent, at 2,123.93.