KingBuck vs. GoldDuck
...or "Who said 'Cluck, Cluck' first?"
Wednesday May 23rd 2001, 2:50 PM
NY Precious Metals Review: Gold Down $1.5; More Consolidation
By Deborah Kinirons
New York, May 23 (BridgeNews) - COMEX Jun gold settled down $1.5 at $284.0 per ounce, consolidating further in
quiet trading as the market continued to move lower following Friday's 5% rally. Jun posted an inside day, holding
within Tuesday's trading range.
"Gold is holding up extremely well in consideration of all the negative influences," said Leonard Kaplan,
president of Prospector Asset Management. The stronger dollar and weak technicals were negative influences he
pointed to. The dollar was stronger against the euro and Aussie.
Spot gold managed to end above $282.0, which is support.
There was spread activity as market participants rolled out of Jun and into Aug. At the close of Tuesday's
trading, Jun open interest fell 2,196 contracts to 69,840 while Aug open interest rose 1,607 contracts to 28,980
contracts.
Bullion is now $14.6 off its 14-month continuation chart high made in overnight Access trade Monday.
One trader said he believes gold is going lower, as those who got long were speculative funds that are in the
market for the short-term.
There are big sell stops below $282 and $289 basis COMEX, and the market tends to gravitate toward stops, he said. |
