Oil And Gold Analysis: Gold Gains As Dollar Drops

LONDON (Sept 16)  Crude capped its biggest weekly drop since July as the U.S. and Russia held talks on a plan for Syria to surrender chemical weapons to avert a strike that could stoke Middle East tensions. Prices fell for the first time in three days as Secretary of State John Kerry reported a “constructive” start to negotiations with Russian Foreign Minister Sergei Lavrov. He gave no sign of a breakthrough. President Barack Obama postponed a decision on military strikes this week to pursue diplomacy. WTI pared losses in the last five minutes of floor trading, and Brent rose, after Obama said any agreement must be verifiable.

GOLD
Gold gained as the dollar dropped to the lowest level in a month after Lawrence Summers withdrew from consideration as the next Federal Reserve chairman before the central bank meets this week to decide on stimulus. Silver rallied from its worst week since June. Climbed as much as 0.8 percent to $1,336.40 an ounce and traded at $1,329.00.