Precious metals end mixed end

Gold shines but silver turns pale

Precious metal prices ended mixed on Friday, 02 October, 2009. Yellow metal prices rose as the dollar erased its prior session's gains.

Generally, a stronger dollar pressures demand for dollar-denominated commodities, such as crude oil and gold, which become more expensive for holders of other currencies and also vice versa.

On Friday, gold for December delivery ended at $1,004.3, higher by $3.6 (0.4%) an ounce on the New York Mercantile Exchange. For the week, gold ended higher by 1.3%. Year to date, gold prices are higher by 14%.

Gold ended September, 2009 higher by 5.9%. For the third quarter it ended higher by 8.7%. Before this, for the second quarter, gold ended higher by 0.5%. The metal had gained 4.3% in the first quarter of this year.

On 17 March, 2008 prices had skyrocketed to a high of $1,034/ounce. But prices have dropped somewhat (4%) since then.

On Friday, Comex silver futures for December delivery fell 21 cents (1.2%) to $16.23 an ounce.

Silver ended 11.8% higher for September, 2009. Year to date, silver has climbed 45.5% this year. For 2008, silver had lost 24%.

In the currency market on Friday, the dollar index, which measures the strength of dollar against a basket of other currencies, fell by almost 0.5%. The dollar lost almost all its strength against the euro.

In 2008, gold prices ended higher by 5.5%. The dollar index had gained 12% that year.