IPFS News Link • Economy - Economics USA
Gold Rises With Oil; Commodity Shares Lead S&P 500 Higher
• Debarati Roy & Susanne WalkerGold climbed for a fifth day, the longest rally of the year, after the metal last week posted the biggest price slump in three decades. Oil rose and energy and raw-material producers led U.S. stocks higher.
Gold for immediate delivery rose 1.6 percent to $1,426.45 an ounce as of 5 p.m. in New York. The Standard & Poor’s 500 Index added 0.5 percent after slumping 2.1 percent last week, its worst drop since November. Ten-year U.S. Treasury yields lost one basis points to 1.69 percent. Italy’s note yields decreased as the country elected a president and the Stoxx Europe 600 Index climbed 0.2 percent. The yen gained for the first time in five days after failing to weaken through 100 per dollar, a level last reached four years ago.
“Strong demand for physical gold is a major factor working to lift gold prices up from last week’s lows and beginning to suggest a market bottom is in place,” Jim Wyckoff, a senior analyst at Kitco Inc., a precious-metal refiner and research company in Montreal, said in a report.
Gold futures for June delivery jumped 1.8 percent to close at $1,421.20, the highest settlement since April 15.
Physical Demand