NEW YORK ( TheStreet ) - Gold prices were reversing earlier losses Friday as the stock market shook off two European debt downgrades and a stronger U.S. dollar. Gold for December delivery was losing $4.80 at $1,691.10 an ounce at the Comex division of the New York Mercantile Exchange. The gold price has traded as high as $1,702.70 and as low as $1,672.60 an ounce while the spot price was down $6, according to Kitco's gold index. Silver prices were shedding 54 cents at $31.34 an ounce while the U.S. dollar index was up 0.53% at $79.55.
Gold prices were following stocks higher as short covering buoyed the market, leaving traders with less need to liquidate their gold positions. Gold prices had been almost $20 lower in early trading after Moody's slashed Hungary's credit rating to junk status following a similar move by Fitch on Portugal, which weighed on the euro and boosted the dollar. Gold mining stocks were mixed Friday. Barrick Gold ( ABX) was adding 0.58% to $48.24 while Newmont Mining ( NEM - Get Report) was rising 0.39% at $64.46. Other gold stocks, Goldcorp ( GG) and Randgold Resources ( GOLD - Get Report) were trading modestly lower at $48.21 and $104.84, respectively. -- Written by Alix Steel in New York. >To contact the writer of this article, click here: Alix Steel.