Gold Rises As USD Drops

Gold futures rose as the dollar’s decline boosted demand for the metal as an alternative investment. Platinum climbed on South African supply concerns amid labor turmoil.
The greenback snapped the longest rally since May against a basket of 10 currencies. Sales of American Eagle gold coins by the U.S. Mint this year surpassed the total for all of 2012, data on the mint’s website showed on Nov. 1.

Gold futures for December delivery rose 0.4 percent to $1,318.50 at 10:48 a.m. on the Comex in New York. On Nov. 1, the price touched $1,305.60, the lowest for a most-active contract since Oct. 17.
Through Nov. 1, gold tumbled 22 percent this year, heading for the first annual drop since 2000. Some investors lost faith in the metal amid a rally in U.S. equities and low inflation.
Silver futures for December delivery fell 0.1 percent to $21.825 an ounce on the Comex. Earlier, the price touched $21.61, the lowest since Oct. 17.

via Bloomberg

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Alfonso Esparza

Alfonso Esparza

Senior Currency Analyst at Market Pulse
Alfonso Esparza specializes in macro forex strategies for North American and major currency pairs. Upon joining OANDA in 2007, Alfonso Esparza established the MarketPulseFX blog and he has since written extensively about central banks and global economic and political trends. Alfonso has also worked as a professional currency trader focused on North America and emerging markets. He has been published by The MarketWatch, Reuters, the Wall Street Journal and The Globe and Mail, and he also appears regularly as a guest commentator on networks including Bloomberg and BNN. He holds a finance degree from the Monterrey Institute of Technology and Higher Education (ITESM) and an MBA with a specialization on financial engineering and marketing from the University of Toronto.
Alfonso Esparza