Gold futures declined on Tuesday for a fifth straight session, and marked their lowest settlement in about six weeks as the U.S. dollar strengthened.
Gold for June delivery fell $23.30, or 1.8%, to end at $1,229.20 an ounce on the Comex division of the New York Mercantile Exchange. The close was the weakest since April 14 when gold closed at $1,226.50 an ounce.
“The recent uptrend in the U.S. dollar index remains a bearish outside market force for the precious metals markets,” Jim Wyckoff, a senior analyst at Kitco Metals Inc., said in a report. “The dollar index hit a seven-week high today. A rally in the U.S. stock market Tuesday also pulled away buying interest in the safe-haven gold market.”
Gold futures traded from a low of $1,228 to a high of $1,252.80.
Silver for July delivery dropped 16.9 cents, or 1%, to settle at $16.254 an ounce. The settlement was the lowest since April 18 when silver ended at $16.253 an ounce. Silver prices ranged from $16.23 to $16.46.
U.S. Mint bullion sales increased on Tuesday by 32,000 ounces in American Silver Eagles. The Mint is limiting Silver Eagle sales this week to 1,057,500 coins. Bullion distributors ordered 81.4% of them through Tuesday. 2016 American Silver Eagles are running at a record pace with 22,803,500 sold, representing a 37.6% increase over those sold through same time in record-breaking year 2015.
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