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Market Commentary
Gold Market Recap Report

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Gold Market Recap Report for 11/20/2009

After starting off the session weak, the gold market steadily gained ground through the balance of the session and was even able to take out the previous day's high. The gold market was initially pressured by selling tied to a stronger Dollar/weaker equity market trade diminishing the metal's appeal and as investors seemed to be paring back positions in a range of riskier assets. But gold found good buying support on the pull back to lower price levels which triggered a new wave of investment buying interest. Escalating concerns that Ukraine could default on their debt may have attracted fresh safe haven buying in gold. Price dips in gold have been shallow and short lived reflecting the broad based demand for the metal coming from funds, central banks and even on the retail level evidenced by a jump in gold coin minting and purchases. The gold market was even able to shrug off concerns over the pace of the economic recovery that has clearly weighed on other commodity markets. Instead, price support for gold continues to flow from rising inflation expectations associated with low global interest rate policies.

The daily commentaries provide a recap of each commodity's traded price activity, an analysis of the factors that influenced price activity, a recap of any reports released that day, and a look ahead at the next day's schedule. CME Group provides market commentaries for corn, wheat, soybeans, gold and silver.

The information in the Market Commentaries was obtained from sources believed to be reliable, but we do not guarantee its accuracy. Neither the information nor any opinion expressed therein constitutes a solicitation of the purchase or sale of any futures or options contracts.