Gold prices set another record
By SANDY SHORE Associated Press
Sept. 28, 2010, 3:28PM
Gold prices settled at a record high today as investors looked for a safety net after sorting through a batch of mixed economic news.
Gold also got a helping hand from a weaker dollar as it rose $9.70 to settle at $1,308.30 an ounce. Earlier in the day, it reached $1,311.80 an ounce.
It's the latest in a series of recent record-setting days for gold as investors seek alternatives to the jittery stock market as prospects for the economy remain uncertain. Many analysts expect the price to continue to climb.
Economic news was mixed on the day. The Conference Board said its monthly Consumer Confidence Index was 48.5, the lowest point since February. Consumer spending makes up a huge portion of the U.S. economy.
Separately, the Standard & Poor's/Case-Shiller 20-city home price index showed home prices rose in July for the fourth straight month, even as many cities are bracing for declines in the year ahead.
On the positive side, there was more dealmaking news. Drug developer Endo Pharmaceuticals Holdings said it would buy Qualitest Pharmaceuticals for $1.2 billion.
Gold and most commodities also benefited as the dollar grew weaker against other currencies. A weaker dollar makes commodities, which are priced in dollars, more attractive for foreign buyers.
"Consumer confidence is definitely another chink in the dollar's armor but I think (the gold price jump) it's a combination of things led by the currencies," Lind-Waldock senior market strategist Rich Ilczyszyn said.
In other metals contracts for December, silver rose 23.6 cents to settle at $21.707 an ounce and copper gained 4 cents to settle at $3.6370 a pound. September palladium added $9.60 to settle at $560.30 and October platinum gained $5.60 to $1,635.70 a pound.
Wheat, soybeans and corn all fell as traders opted to take some profit and sell contracts ahead of a key government report on crops that is due later this week, said Northstar Commodity analyst Jason Ward.
Wheat prices also were pressured by a chance of rain in Russia, which could make it easier for farmers to plant wheat in a region where a drought ravaged the crop earlier this year, he said.
Wheat for December delivery fell 21.75 cents to settle at $6.8475 a bushel; December corn lost 12.75 cents to $5 a bushel and November soybeans gave up 18.5 cents to $11.10 a bushel.
In other trading, energy prices were mixed as traders sorted through the economic reports.
Benchmark oil for November delivery fell 34 cents to settle at $76.18 a barrel on the New York Mercantile Exchange.
In other Nymex trading in October contracts, heating oil rose 0.17 cent to settle at $2.1245 a gallon and gasoline lost 0.09 cent to $1.9479 a gallon.
Natural gas gained 3.7 cents to settle at $3.837 per 1,000 cubic feet on a day when the contract expired.
By SANDY SHORE Associated Press
Sept. 28, 2010, 3:28PM
Gold prices settled at a record high today as investors looked for a safety net after sorting through a batch of mixed economic news.
Gold also got a helping hand from a weaker dollar as it rose $9.70 to settle at $1,308.30 an ounce. Earlier in the day, it reached $1,311.80 an ounce.
It's the latest in a series of recent record-setting days for gold as investors seek alternatives to the jittery stock market as prospects for the economy remain uncertain. Many analysts expect the price to continue to climb.
Economic news was mixed on the day. The Conference Board said its monthly Consumer Confidence Index was 48.5, the lowest point since February. Consumer spending makes up a huge portion of the U.S. economy.
Separately, the Standard & Poor's/Case-Shiller 20-city home price index showed home prices rose in July for the fourth straight month, even as many cities are bracing for declines in the year ahead.
On the positive side, there was more dealmaking news. Drug developer Endo Pharmaceuticals Holdings said it would buy Qualitest Pharmaceuticals for $1.2 billion.
Gold and most commodities also benefited as the dollar grew weaker against other currencies. A weaker dollar makes commodities, which are priced in dollars, more attractive for foreign buyers.
"Consumer confidence is definitely another chink in the dollar's armor but I think (the gold price jump) it's a combination of things led by the currencies," Lind-Waldock senior market strategist Rich Ilczyszyn said.
In other metals contracts for December, silver rose 23.6 cents to settle at $21.707 an ounce and copper gained 4 cents to settle at $3.6370 a pound. September palladium added $9.60 to settle at $560.30 and October platinum gained $5.60 to $1,635.70 a pound.
Wheat, soybeans and corn all fell as traders opted to take some profit and sell contracts ahead of a key government report on crops that is due later this week, said Northstar Commodity analyst Jason Ward.
Wheat prices also were pressured by a chance of rain in Russia, which could make it easier for farmers to plant wheat in a region where a drought ravaged the crop earlier this year, he said.
Wheat for December delivery fell 21.75 cents to settle at $6.8475 a bushel; December corn lost 12.75 cents to $5 a bushel and November soybeans gave up 18.5 cents to $11.10 a bushel.
In other trading, energy prices were mixed as traders sorted through the economic reports.
Benchmark oil for November delivery fell 34 cents to settle at $76.18 a barrel on the New York Mercantile Exchange.
In other Nymex trading in October contracts, heating oil rose 0.17 cent to settle at $2.1245 a gallon and gasoline lost 0.09 cent to $1.9479 a gallon.
Natural gas gained 3.7 cents to settle at $3.837 per 1,000 cubic feet on a day when the contract expired.
