This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here
Stocks Under $10 with 50-100% upside potential - 14 days FREE!

Gold Prices Give Up Gains (Update 1)

Updated from 9:31 a.m. EDT with settlement prices and mining stocks

NEW YORK (TheStreet) -- Gold prices relinquished gains from earlier on Wednesday despite Germany's Federal Constitutional Court ruling in favor of the European Stability bailout fund.

Gold for December delivery slipped $1.20 to settle $1,733.70 an ounce at the Comex division of the New York Mercantile Exchange. The gold price traded as high as $1,749.50 and as low as $1,727.30 an ounce, while the spot price was down $1, according to Kitco's gold index.

The yellow metal posted early morning gains after Germany revealed it would commit to aiding the eurozone. But a recent rally in gold, coupled with the Federal Reserve's meeting announcement to come Thursday, reversed the rise.

"Certainly the German decision has helped underpin risk sentiment," said James Moore, an analyst at FastMarkets.com. "The moves that we've seen today are in reaction to the German news and the fact that German politicians are not going to stand in the way of the ESM in providing stability to the eurozone."

"The market feels like it will be swung around on fresh news items but mostly will experience some consolidation of recent gains," George Gero, precious metals strategist at RBC Capital Markets, wrote in a Wednesday afternoon note.

Silver prices for December delivery settled down 27 cents at $33.29 an ounce, while the U.S. dollar index was falling 0.23% to $79.71.

German's approval of the bailout fund was also met with conditions that said the country's liability on the fund should not rise beyond €190 billion without the parliament's approval.

Though gold was moving higher Wednesday morning, markets likely are waiting for Fed Chairman Ben Bernanke's announcement on Thursday about the central bank's monetary policy moving forward, Moore said.

Bernanke said two weeks ago at the Jackson Hole, Wyo., economic summit that he was gravely concerned about unemployment, and that quantitative easing could be near.

Fed watchers are expecting the central bank to announce a new asset purchase program and possibly extend to 2015 its promise to keep interest rates at historic lows.

The monthly unemployment rate ticked lower last Friday to 8.1% in August, down from 8.3% in July, but the number of jobs added in the month were lower than expected.

Platinum prices have continued to surge on questions about supply, which has been rocked in the past month by sweeping strikes by South African miners.

1 of 2

Select the service that is right for you!

COMPARE ALL SERVICES
Action Alerts PLUS
Try it NOW

Jim Cramer and Stephanie Link actively manage a real portfolio and reveal their money management tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
  • Weekly roundups
TheStreet Quant Ratings
Try it NOW
Only $49.95/yr

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
  • Upgrade/downgrade alerts
Stocks Under $10
Try it NOW

David Peltier, uncovers low dollar stocks with extraordinary upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
  • Weekly roundups
Dividend Stock Advisor
Try it NOW

Jim Cramer's protege, David Peltier, identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • 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 Pro
Try it NOW

All of Real Money, plus 15 more of Wall Street's sharpest minds delivering actionable trading ideas, a comprehensive look at the market, and fundamental and technical analysis.

Product Features:
  • Real Money + Doug Kass Plus 15 more Wall Street Pros
  • Intraday commentary & news
  • Ultra-actionable trading ideas
Options Profits
Try it NOW

Our options trading pros provide daily market commentary and over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.

Product Features:
  • 100+ monthly options trading ideas
  • Actionable options commentary & news
  • Real-time trading community
  • Options TV
To begin commenting right away, you can log in below using your Disqus, Facebook, Twitter, OpenID or Yahoo login credentials. Alternatively, you can post a comment as a "guest" just by entering an email address. Your use of the commenting tool is subject to multiple terms of service/use and privacy policies - see here for more details.
Submit an article to us!

Brokerage Partners

Rates from Bankrate.com

  • Mortgage
  • Credit Cards
  • Auto

Free Newsletters from TheStreet

My Subscriptions:

After the Bell

Before the Bell

Booyah! Newsletter

Midday Bell

TheStreet Top 10 Stories

Winners & Losers

Register for Newsletters
Top Rated Stocks Top Rated Funds Top Rated ETFs