Gold futures gain $16.60

NEW YORK (Sept 8)  As of 5:05 PM EDT gold futures basis, the most active December contract is currently fixed at $1729.50 after factoring in today's gain of $16.60 or 0.97%. Dollar weakness was a primary contributor to moving gold higher accounting for approximately 60% of gold's $17 price increase. Currently, the dollar index is fixed at 109.55 which is a daily decline of 0.59%. Considering that gold gained just shy of 1% simple math indicates that market participants were active buyers accounting for approximately 40% of today's price advance.

Spot gold pricing had similar gains in trading today. After factoring in today's gain of $15.70 physical gold is currently fixed at $1717.90 according to the KGX (Kitco Gold Index). Just as in gold futures gains in physical gold occurred as a combination of dollar weakness and normal trading. Dollar weakness accounted for $10.40, with the remaining gain of $5.30 attributable to market participants bidding the precious yellow metal higher.

KITCO