Gold rises from two-month low on weak dollar
- Source: Xinhua
- [08:38 July 10 2009]
- Comments
Gold futures on the COMEX Division of the New York Mercantile Exchange rebounded from a tow-month low on Thursday as dollar went sharply down. Silver and platinum ended higher, too.
Gold price for August delivery rose 6.90 US dollars, or 0.8 percent, finishing at 916.20 dollars an ounce.
The reports that China requested to improve the global reserve currency system at the Group of Eight summit meeting weighed much on dollar. The rate against euro dropped to 1.4043 dollars by the end of gold floor trading time, much lower than late Wednesday. Gold's appeal as a hedge against dollar depreciation was strengthened.
Some analysts indicated that short-covering also helped the precious metal manage to finish higher after Wednesday's big loss of almost 20 dollars an ounce.
On economy front, the US Labor Department said new claims for unemployment insurance for the week ending July 4 plummeted by 52, 000 to a seasonally-adjusted 565,000. That's significantly below analysts' expectations of 605,000. This is the lowest level since this January.
September silver finished at 12.935 dollars per ounce, up 8.3 cents. October platinum gained 8.70 dollars to 1,110.50 dollars an ounce.