US gold drops

01 Apr, 2010

US gold futures dropped on Tuesday, falling toward $1,100 an ounce on month-end position squaring and liquidation pressure related to contract rollover, traders said. COMEX June down $5.80 at $1,105.70 an ounce at 10:32 am EDT (1432 GMT). Ranged $1,104.40 to $1,114.20. Gold traders take a breather following Monday's gains, prompted by a lower euro against the dollar.
GOLD: Large short positions by funds, month-end selling weighing on prices. COMEX floor trader Jonathan Jossen. COMEX gold 10 am volume a quiet 90,441 lots. Spot gold was at $1,105.40 an ounce, compared with $1,108.20 an ounce late in New York's previous session.
SILVER: COMEX May silver eases 11.7 cents to $17.270 an ounce, taking the lead from gold. Ranged $17.275 to $17.480 - highest since March 18. COMEX gold 10 am volume 8,749 lots. Spot silver at $17.30 an ounce, versus $17.32 late in the prior session.
PLATINUM: July falls $8.80 to $1,619.10 an ounce as investors take profits. US auto sales data to be released on Thursday in focus for platinum group. Spot platinum at $1,614 an ounce.
PALLADIUM: June palladium drops $2.85 to $472.15 an ounce as the market takes a breather after Monday's strong rally based on short-covering. Spot palladium at $471 an ounce.

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