This Day On The Street
Continue to site
ADVERTISEMENT
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

Gold Prices Settle Lower (Update 1)

Updated from 12:12 p.m. EST with settlement prices

NEW YORK ( TheStreet) -- Gold prices closed lower during a choppy session on Thursday after European Central Bank President Mario Draghi commented on the economic situation in Europe.

Gold for April delivery slid $7.50 to settle at $1,671.30 an ounce at the Comex division of the New York Mercantile Exchange. The gold price traded as high as $1,683.90 and as low as $1,663.40 an ounce, while the spot price was falling $5.40, according to Kitco's gold index.

"Looking at the news headlines, Draghi gave a bit of an upbeat assessment of the eurozone economy as a whole, he talked about no inflationary problems, and that may have provided a little downside pressure on the gold market," Jim Wyckoff, senior metals analyst at Kitco.com, said in an interview.

Gold prices sold off by more than $10 shortly after Draghi's remarks as the central bank chief said that the exchange rate was important for growth and price stability -- a nod that an appreciation in the euro could hurt exports and become an inflation risk.

Chicago Fed President Charles Evans told CNBC on Thursday morning that quantitative easing may need to continue for the whole year in 2013. Gold investors raised concerns last month when the Federal Reserve announced that policy-making members announced confliction as to when to end the bank's monetary stimulus programs.

The Labor Department reported initial jobless claims for the week of Jan. 26 of 366,000, which was down 5,000 from the previous week's upwardly revised 371,000 claims. Economists expected new claims of 360,000. The four-week moving average dropped in the latest report to 350,000 claims, which was down 2,250 from the prior tally. Gold investors continue to monitor labor market trends as the Fed's low-interest-rate policy is pegged to an unemployment rate target of 6.5%. Any end in low rates could signal an end to very accommodative policies by the central bank.

Silver prices for March delivery dipped 47 cents to $31.40 an ounce, while the U.S. dollar index was jumping 0.59% to $80.22.

Gold mining stocks were turning mostly lower on Thursday. Shares of Yamana Gold (AUY - Get Report) were rising 1.7%, but shares of Randgold Resources (GOLD - Get Report) were losing 1.8%.
1 of 2

Check Out Our Best Services for Investors

Action Alerts PLUS

Portfolio Manager Jim Cramer and Director of Research Jack Mohr reveal their investment tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
Quant Ratings

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
Stocks Under $10

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

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
14-Days Free
Only $9.95
14-Days Free
Dividend Stock Advisor

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
  • Updates with exact steps to take - BUY, HOLD, SELL
Trifecta Stocks

Every recommendation goes through 3 layers of intense scrutiny—quantitative, fundamental and technical analysis—to maximize profit potential and minimize risk.

Product Features:
  • Model Portfolio
  • Intra Day Trade alerts
  • Access to Quant Ratings
Options Profits

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

Product Features:
  • Actionable options commentary and news
  • Real-time trading community
SYM TRADE IT LAST %CHG
ABX $10.57 0.00%
AUY $2.96 0.00%
GLD $111.76 0.00%
GOLD $66.55 0.00%
IAU $11.27 0.00%

Markets

DOW 17,730.11 -27.80 -0.16%
S&P 500 2,076.78 -0.64 -0.03%
NASDAQ 5,009.2140 -3.9090 -0.08%

Free Reports

Top Rated Stocks Top Rated Funds Top Rated ETFs