Gold Rises, Fractional 2009 Gold Eagle Bullion Coins Back – 12/14/2009

by Bullion Prices Staff on December 14, 2009

New York gold futures bounced back from a one-month low on Monday to register a slight 0.3% gain as the US dollar fell after Abu Dhabi pledged to bail out $10 billion of Dubai’s debt. Silver and platinum advanced as well, with gains of at least 1.5%.

New York precious metal figures follow:

  • Gold for February delivery rose $3.90 to $1,123.80 an ounce. It ranged from $1,111.70 to $1,128.90.

  • Silver for March delivery ended up 25 cents, or 1.5%, to $17.340 an ounce. It ranged from $17.095 to $17.455.

  • January platinum advanced $24.30, or 1.7%, to $1,447.00 an ounce. It ranged from $1,421.20 to $1,455.10.

In PM London bullion, the benchmark gold price was fixed earlier in the day to $1,123.75 an ounce, which was a decline of 25 cents from Friday. Silver retreated 32 cents to $17.190 an ounce. Platinum was settled at $1,436.00 an ounce, rising $7.00.

Notable bullion quotes follow:

"We’re seeing weakness in the dollar," Sagiv Perez, a senior dealer at Finotec Trading U.K. in London, was quoted on Bloomberg. "There was such a big correction. Now people are looking for a reason to buy it back."

Gold prices "are trading higher as news that Abu Dhabi has bailed out Dubai with a $10 billion cash injection weighed on the dollar," Natalya Naqvi, a precious metals analyst at Barclays Capital, was quoted on MarketWatch.

"A near-1% recovery was seen in gold prices overnight and early on Monday, and it was mainly precipitated by news the Abu Dhabi was handing out about $10 billion in financing to Dubai," wrote Jon Nadler, senior analyst at Kitco Metals, Inc. "A rescue package by any other name, the gesture ignited a bit of risk appetite which helped bring gold back from its one-month lows recorded on Friday."

New York crude-oil for January delivery fell 36 cents, or 0.5%, to $69.51 a barrel, registering a ninth straight loss. 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.

In related gold bullion news, the US Mint today resumed selling 2009 Gold Eagles in the fractional sizes of 1/2 oz, 1/4 oz and 1/10 oz. The bullion coins were suspended due to enormous demand that depleted the Mint’s inventory. No additional 2009-dated coins will be produced when the remaining supplies are sold.

"The additional limited quantity of 2009 American Eagle Gold Half-Ounce, Quarter-Ounce and Tenth-Ounce Bullion Coins will be offered via the United States Mint standard allocation process," U.S. Mint Director of Public Affairs Tom Jurkowsky said on Friday. “Once this inventory is depleted, no additional inventory will be produced."

The 1 oz sized Gold Eagle bullion coins will return for sale on Tuesday. The Mint anticipates production of the 2010-dated American Eagle Gold Coins to begin in January.

{ 0 comments… add one now }

Leave a Comment

Previous post:

Next post: