Breaking News
Ad-Free Version. Upgrade your experience. Save up to 40% More details

Gold / Silver / Copper futures - Weekly review: September 9 - 13

CommoditiesSep 15, 2013 06:56AM ET
Saved. See Saved Items.
This article has already been saved in your Saved Items - Gold futures bounced off a five-week low on Friday to end the session little changed, as weaker-than-forecast U.S. retail sales data fuelled uncertainty over whether the Federal Reserve will start to taper its bond-buying program at its upcoming policy meeting.

The central bank is scheduled to meet September 17-18 to review the economy and assess policy.

Moves in the gold price this year have largely tracked shifting expectations as to whether the U.S. central bank would end its quantitative easing program sooner-than-expected.

On the Comex division of the New York Mercantile Exchange, gold futures for December delivery shed 0.35% on Friday to settle the week at USD1,326.10 a troy ounce.

Gold futures fell by as much as 1.9% earlier in the session to hit a daily low of USD1,304.80 a troy ounce, the weakest level since August 8. The December contract settled 2.45% lower at USD1,330.60 a troy ounce on Thursday.

Gold futures were likely to find support at USD1,304.80 a troy ounce, Friday’s low and resistance at USD1,365.70, the high from September 12.

For the week, gold prices lost 4.7%, the biggest weekly decline since June, as traders sold the precious metal amid ongoing expectations the Fed will decide to begin tapering its USD85 billion-a-month asset purchase program next week.

Some technical selling also contributed to gold’s weekly decline after prices broke below key support levels on Thursday, triggering a flurry of automatic sell orders amid bearish chart signals.

Gold prices rebounded off a five-week low on Friday after the Commerce Department said U.S. retail sales rose 0.2% in in August, below expectations for a 0.4% increase.

A separate report showed that the preliminary reading of the University of Michigan’s consumer sentiment index fell to a five month low of 76.8, from a final reading of 82.1 in August.

The reports came a week after the latest U.S. employment report showed that the economy added slightly fewer jobs than expected in August.

The disappointing data saw investors reassess expectations over the timing of a pullback in the Federal Reserve’s stimulus program.

Gold traders have closely been looking out for U.S. data reports recently to gauge if they will strengthen or weaken the case for the Fed to reduce its bond purchases.

Fed Chairman Ben Bernanke has said that the decision to begin tapering will depend on whether economic data is strong enough.

In the week ahead, investors will be keenly anticipating the outcome of the Fed’s policy-setting meeting on Wednesday, and a press conference with Fed chief Ben Bernanke will be closely watched.

The precious metal is on track to post a loss of nearly 22% on the year as traders bet an improving U.S. economy would lead the Fed to unwind its stimulus program by the year's end.

Elsewhere on the Comex, silver for December delivery inched up 0.4% on Friday to settle the week at USD22.24 a troy ounce.

Despite Friday’s modest gains, silver future prices plunged 6.85% on the week.

Meanwhile, copper for December delivery tacked on 0.35% on Friday to close the week at USD3.221 a pound. Prices of the red metal declined 1.2% on the week.

Gold / Silver / Copper futures - Weekly review: September 9 - 13

Related Articles

Add a Comment

Comment Guidelines

We encourage you to use comments to engage with other users, share your perspective and ask questions of authors and each other. However, in order to maintain the high level of discourse we’ve all come to value and expect, please keep the following criteria in mind:  

  •            Enrich the conversation, don’t trash it.

  •           Stay focused and on track. Only post material that’s relevant to the topic being discussed. 

  •           Be respectful. Even negative opinions can be framed positively and diplomatically. Avoid profanity, slander or personal attacks directed at an author or another user. Racism, sexism and other forms of discrimination will not be tolerated.

  • Use standard writing style. Include punctuation and upper and lower cases. Comments that are written in all caps and contain excessive use of symbols will be removed.
  • NOTE: Spam and/or promotional messages and comments containing links will be removed. Phone numbers, email addresses, links to personal or business websites, Skype/Telegram/WhatsApp etc. addresses (including links to groups) will also be removed; self-promotional material or business-related solicitations or PR (ie, contact me for signals/advice etc.), and/or any other comment that contains personal contact specifcs or advertising will be removed as well. In addition, any of the above-mentioned violations may result in suspension of your account.
  • Doxxing. We do not allow any sharing of private or personal contact or other information about any individual or organization. This will result in immediate suspension of the commentor and his or her account.
  • Don’t monopolize the conversation. We appreciate passion and conviction, but we also strongly believe in giving everyone a chance to air their point of view. Therefore, in addition to civil interaction, we expect commenters to offer their opinions succinctly and thoughtfully, but not so repeatedly that others are annoyed or offended. If we receive complaints about individuals who take over a thread or forum, we reserve the right to ban them from the site, without recourse.
  • Only English comments will be allowed.

Perpetrators of spam or abuse will be deleted from the site and prohibited from future registration at’s discretion.

Write your thoughts here
Are you sure you want to delete this chart?
Post also to:
Replace the attached chart with a new chart ?
Your ability to comment is currently suspended due to negative user reports. Your status will be reviewed by our moderators.
Please wait a minute before you try to comment again.
Thanks for your comment. Please note that all comments are pending until approved by our moderators. It may therefore take some time before it appears on our website.
Are you sure you want to delete this chart?
Replace the attached chart with a new chart ?
Your ability to comment is currently suspended due to negative user reports. Your status will be reviewed by our moderators.
Please wait a minute before you try to comment again.
Add Chart to Comment
Confirm Block

Are you sure you want to block %USER_NAME%?

By doing so, you and %USER_NAME% will not be able to see any of each other's's posts.

%USER_NAME% was successfully added to your Block List

Since you’ve just unblocked this person, you must wait 48 hours before renewing the block.

Report this comment

I feel that this comment is:

Comment flagged

Thank You!

Your report has been sent to our moderators for review
Disclaimer: Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. All CFDs (stocks, indexes, futures) and Forex prices are not provided by exchanges but rather by market makers, and so prices may not be accurate and may differ from the actual market price, meaning prices are indicative and not appropriate for trading purposes. Therefore Fusion Media doesn`t bear any responsibility for any trading losses you might incur as a result of using this data.

Fusion Media or anyone involved with Fusion Media will not accept any liability for loss or damage as a result of reliance on the information including data, quotes, charts and buy/sell signals contained within this website. Please be fully informed regarding the risks and costs associated with trading the financial markets, it is one of the riskiest investment forms possible.
Continue with Google
Sign up with Email