(Kitco News) – Gold and silver prices are higher in early U.S. trading Monday, on safe-haven demand following a weekend terrorist drone strike that crippled Saudi Arabia’s oil industry. Some metals market watchers are scratching their heads wondering why prices have not rallied more sharply on the news. December gold futures were last up $11.80 an ounce at 1,511.10. December Comex silver prices were last up $0.336 at $17.905 an ounce.
Risk aversion is very keen in the marketplace to start the trading week, following the weekend terrorist drone attacks on Saudi Arabian oil installations that have quickly taken nearly 6 million barrels a day of oil production off the market. That amounts to about 5% of world crude oil production. It’s the biggest hit to world crude oil production in modern history. The U.S. has blamed Iranian-backed terrorists and Iran, itself. President Trump said the U.S. is “locked and loaded” to respond to the situation.
Asian and European stock markets were mixed to mostly down overnight. U.S. stock indexes are pointed toward lower openings when the New York day session begins. Safe-haven assets like gold, silver, the U.S. dollar, U.S. Treasuries and the Japanese yen are all in rally mode Monday.
Posted By :
Jack Dempsey, President
401 Gold Consultants LLC
jdemp2003@gmail.com