Unlike most other commodities, precious metals have less to do with supply and demand and more to do with macro-economics. In today’s markets, gold and silver are less industrial commodities and more financial instruments.
Shares in U.S. Steel are bucking the broader market Thursday, adding 1.05% to stand at $20.26 and off an earlier-in-the-week low of $15.68. The move follows a midweek rally on heavy share volume after a two-month malaise for the stock.
Roughly one month ago, the price of a gold futures contract expiring in December was trading at just above $1,200 per ounce. In the past few days a so-called “bear raid” on the gold market in general has driven its price down close to $1,080.
The March 2015 contract trades $3.00 higher at $52.60. Four sessions ago on Thursday, Jan. 29, the contract traded to a March 2009 low of $43.58, finishing that session marginally higher from the prior close.