- CNTV English - CCTV News

Homepage > News > Biz >

Gold rebounds on weaker dollar

10-21-2010 08:42 BJT

CHICAGO, Oct. 20 (Xinhua) -- Gold futures on the COMEX Division of the New York Mercantile Exchange Wednesday rebounded from Tuesday's sharp drop, as U.S. dollar fell again. Analysts hold that a short-dollar long-gold trade would remain intact in the long run. Silver also climbed in the day.

The most active gold contract for December delivery gained 8.2 U.S. dollars, or 0.6 percent, to close at 1,344.2 dollars per ounce.

The U.S. currency fell again following Tuesday's rally, dropping as much as 1.9 percent against the euro, heading for the second straight monthly loss. Market rumor went on Wednesday morning that the Fed was considering an initially 500 billion dollars for the pending quantitative easing program, which triggered dumping of dollar.

Mike Daly, a senior gold analyst with PFGBEST, noted that bargain hunters flocked into gold market after it lost 36 dollars on Tuesday, which also helped buoyed up the market. "They see Tuesday's tumble as a buying opportunity and they do not care about short-term turbulence," said Mike.

Mike predicted that the gold market should go bullish in the long run as long as the world's leading economies continue sluggish recovery. Moreover, the increasing demands for physical gold also help underpin the market.

Silver also followed suit, the most active December silver on Wednesday rose 8.4 cents, or 0.35 percent, to 23.864 dollars.

Editor:Xiong Qu |Source: Xinhua

Hot Videos view more

The celebrations are still continuing as the victorious coach, Joachim Loew, has been honored for his achievement in his hometown of Freiburg.
Germany coach Loew honored in hometown of Freiburg

Chinese men´s national team continued its preparations for next year´s Asian Cup, as they managed a one-all draw against visitors Jordan during a football friendly in Harbin, the capital city of Northeast China´s Heilongjiang Province.
China held to 1-1 draw by Jordan

The defending world champs came into the contest with a perfect 6-and-oh record, but they would be in for a tough first half before opening things up in the second.
USA beat Slovenia 119-76 in quarter-finals

Hot Stories more

UK authorities believe killer of James Foley is a British national

Across the UK the hunt is on for James Foley’s killer, who authorities believe is a British national. As Richard Bestic reports from London, Prime Minister David Cameron cut short his summer break to lead his government’s response.

Israeli war jets renews Gaza strike as truce talks stalled

Three Palestinians were killed and 40 others wounded in the intensive Israeli war jets´ airstrikes on the Gaza city on Tuesday night, shortly before an end of a 24-hour ceasefire in the Gaza Strip,

Missouri police arrest dozens after violent night

As the protests in the town of Ferguson, Missouri turned violent with police facing ´heavy gunfire´ from some ´criminal elements´, cops fired tear gas, stun grenades and arrested 31 demonstrators on Monday night.

Picture in news more

More Video News

Choose TV Program