Gold futures rose in early trading Wednesday as Wall Street's second quarter started with a thud for stocks.
June gold, the most active contract, was up $5.20 at $930.20 an ounce in recent trading at the Comex division of the New York Mercantile Exchange. Silver prices rose 6 cents to $13.04 an ounce, and copper was declining 1 cent to $1.83.
Although March ended on a positive note for the
Dow Jones Industrial Average
, investors are gearing up for potentially bad economic and earnings data, as well as possible inaction and disagreements coming out of the G-20 Summit. In times of uncertainty or crisis, some investors turn to gold as a safer alternative investment.
Traders started buying ahead of the day's data in the U.S., which included employment figures from ADP, says Carlos Sanchez, associate director of research for CPM Group. "Gold climbed around 5 a.m. this morning. Gold prices had been holding at about $920 ... and you had some buying there."
Going forward, gold could see increased volatility, but he predicts it "will trend higher overall," especially if the European Central Bank lowers rates, a gold agreement is solidified during the G-20 meeting U.S. unemployment climbs.
In gold stocks,
rose slightly to $44.76. Reports indicate that foreign investors in the company's Indonesian subsidiary must sell their 17% stake to the government within three months.
was trading up more than 2.5% to $33.13, and
was advancing 2.4% to $9.30.
ticked up slightly to $56.90.
Alix joined TheStreet.com TV in February 2007. Previously, she held positions in film and theater production, management, and legal administration. Alix has a degree in communications and theater from Northwestern University.