• Gold declined on the speculation that the election in the
Ireland may hinder the bailout package talks with EU and
IMF, weakened euro against the dollar, curbed the
alternative investment appeal of bullions.
• The movement in the bullion is being driven by the euro
and the U.S. dollar and the sensitivity of the issues around
• gold for immediate delivery dropped 0.3 percent to
$1,361.75 an ounce. The Euro fell versus the dollar on
concern that Ireland’s debt problems will spur other
countries such as Portugal to ask for financial assistance.
• The greenback declined 0.2 percent against
the basket of currencies.
• Silver for immediate delivery fell 1 percent to
$27.6025 an ounce after gaining as much as
2.1 percent yesterday.
• Crude Oil fell in New York as concern an election
in Ireland may hinder the country’s financial
bailout boost the dollar against the euro.
• Futures extended yesterday’s 0.3 percent decline
as the dollar rose for a second day against the
euro, limiting the appeal of riskier assets such as
• Any financial trouble would slow down the
economic recovery and could impact fuel
• The energy markets are concerned about the
Irish bailout package, which may prompt the
other countries such as Portugal and Spain to
ask for financial assistance.
• The January delivery contract fell as much as 0.6
percent, to $81.23 a barrel in electronic trading
on the New York Mercantile Exchange.
Yesterday, the contract lost 24 cents to $81.74.
Prices are up 2.6 percent this year.
• Copper declined as debt problems in Europe and
expectations that demand from China will weaken
curbed the appeal of the metal used in homes and
appliances. Zinc and aluminum also fell.
• Copper for three-month delivery on the London
Metal Exchange dropped 1.2 percent to $8,192 a
• Europe’s debt crisis helped the dollar and in turn
weighed on copper and the metal is facing
resistance as physical demand isn’t so good in China.
Base metals (Contd..)
• Chinese imports will likely remain low through to the
end of the year as the domestic market continues to
trade at a large physical discount.
• The Dollar Index measuring the currency’s
performance against those of six major trading
partners has climbed as much as 5.1 percent from its
low this year on Nov. 4.
• In LME Aluminum fell 0.8 percent, zinc declined 1.4
percent, Lead lost 1.6 percent, Nickel fell 1.1 percent
and tin dropped 0.4 percent.