December 12 (Weekly Flashback): Silver and Gold Fluctuates From Three-Week Highs to Record Lows

Gold/silver market summary for December 9-12: Despite fears of looming bond-buying cutbacks by the Feds, the week started strong as gold and silver prices rebounded following losses in the U.S. dollar as investors anticipate next week’s Federal Reserve policy meeting. On Tuesday, gold futures for February delivery hit a three-week peak at $1,261.10 an ounce, up $26.90 from Monday’s session. Silver also hit a three-week high point, climbing over sixty cents to $20.315 an ounce for March futures.

However, on Thursday, gold and silver took a big hit as the odds for a December tapering increased and new data came in showing that overall retail sales are climbing. The market closed with gold suffering its biggest one-day loss since October, dropping 2.6 percent to settle at $1,224.90 an ounce, and silver sunk 4.4 percent to $19.55 an ounce on the Comex division of the New York Mercantile Exchange.

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