Tuesday, December 13, 2005
Gold Falls Ahead Of FOMC
Market Watch has the AM report on gold markets. "Gold futures were lower for the first time in eight sessions early Tuesday, pulling back as traders locked in some of the metal's recent gains ahead of a Federal Reserve meeting. Gold for February delivery was last trading down $1.60 at $529.90 an ounce and fell as much as $7 overnight. The contract is more than $14 below the quarter-century high touched early Monday."
"'Speculative accounts had been running record net long exposures in the futures gold market, and the exit for profit taking always risked being a tight one once prices started to fall,' said economists at Action Economics."
"Gold was also hit by profit-taking in Japan overnight, after the Tokyo Commodity Exchange said it will raise margin requirements on gold futures from Dec. 14, in an effort to curb volatility in the market. The exchange said it will raise margin requirements on platinum from Dec. 15 if prices reach the upper price limit on Dec. 13 for three contract months or more."
"Platinum was last trading down $11.70 at $1,006.40 an ounce. Palladium was down $6.35 at $286 an ounce. Silver lost 0.20 cent to $8.88 an ounce."
"'Speculative accounts had been running record net long exposures in the futures gold market, and the exit for profit taking always risked being a tight one once prices started to fall,' said economists at Action Economics."
"Gold was also hit by profit-taking in Japan overnight, after the Tokyo Commodity Exchange said it will raise margin requirements on gold futures from Dec. 14, in an effort to curb volatility in the market. The exchange said it will raise margin requirements on platinum from Dec. 15 if prices reach the upper price limit on Dec. 13 for three contract months or more."
"Platinum was last trading down $11.70 at $1,006.40 an ounce. Palladium was down $6.35 at $286 an ounce. Silver lost 0.20 cent to $8.88 an ounce."
# posted by Ben Jones @ 6:43 AM 
