Gold for April delivery fell $17.10 to settle at $1,412.50 an ounce at the Comex division of the New York Mercantile Exchange. The gold price today has traded as high as $1,431.80 and as low as $1,403 while the spot gold price was losing more than $19, according to Kitco's gold index.
"If in fact [gold] does sink and break the $1,400 psychological level then, of course, we will be open to new discussions," says Jon Nadler, senior analyst at Kitco.com, who was looking to $1,415-$1,410 as a support level.
Silver prices settled down 98 cents to $35.06 after the metal settled at a 31-year high Wednesday of $36.04 an ounce. "People better get used to $1-$2 moves intra-day," argues Nadler.
Gold and silver may have been expected to move higher on safe haven buying, but instead were getting lumped in with a broad market selloff. There were reports that Gadhafi loyalists bombed an oil field in Libya as fighting escalated. Moody's struck out at Eurozone nations again, this time downgrading Spain's credit rating one level to aa2 with a negative outlook citing worries over the country shoring up its banking system. Moody's cut Greece's credit rating Monday and downgraded 6 of its banks Wednesday.
The Bank of England also left interest rates at 0.5%, which was expected, as the easy cheap money flow continues in the country even as inflation nears 4%.
Select the service that is right for you!COMPARE ALL SERVICES
- $2.5+ million portfolio
- Large-cap and dividend focus
- Intraday trade alerts from Cramer
- Weekly roundups
Access the tool that DOMINATES the Russell 2000 and the S&P 500.
- Buy, hold, or sell recommendations for over 4,300 stocks
- Unlimited research reports on your favorite stocks
- A custom stock screener
- Upgrade/downgrade alerts
- Diversified model portfolio of dividend stocks
- Alerts when market news affect the portfolio
- Bi-weekly updates with exact steps to take - BUY, HOLD, SELL
- Real Money + Doug Kass Plus 15 more Wall Street Pros
- Intraday commentary & news
- Ultra-actionable trading ideas
- 100+ monthly options trading ideas
- Actionable options commentary & news
- Real-time trading community
- Options TV