Silver advances to highest price since 1980; gold breaks $1,300
Gold and silver futures both rose on Friday morning, testing records. In silver's case, December delivery contracts hit the highest level since the Hunt Brothers tried and failed to corner the silver market in the 1980's. At that time, silver rose to nearly $50 per ounce.
Gold, meanwhile, briefly saw futures for $1,301.60 per troy ounce, a new record, though the metal later retrenched slightly.
Comex gold futures for December delivery rose $1 to $1,297.30 per ounce after touching that record.
December delivery futures for silver rose 13.7 cents to $21.35 per troy ounce, with trading volume of nearly 25,000 contracts.
Terry Duffy, the executive chairman of CME Group, made some comments to the Wall Street Journal denying any changes in the New York City-only delivery policy on Comex gold contracts. "People don't make or take delivery very often on Comex futures contracts," Duffy told the paper. "I think when it comes to precious metals, you always need to have that option, but it doesn't mean they are going to take it."
Risk Disclosure
This material is conveyed as a solicitation for entering into a derivatives transaction.
This material has been prepared by a Daniels Trading broker who provides research market commentary and trade recommendations as part of his or her solicitation for accounts and solicitation for trades; however, Daniels Trading does not maintain a research department as defined in CFTC Rule 1.71. Daniels Trading, its principals, brokers and employees may trade in derivatives for their own accounts or for the accounts of others. Due to various factors (such as risk tolerance, margin requirements, trading objectives, short term vs. long term strategies, technical vs. fundamental market analysis, and other factors) such trading may result in the initiation or liquidation of positions that are different from or contrary to the opinions and recommendations contained therein.
Past performance is not necessarily indicative of future performance. The risk of loss in trading futures contracts or commodity options can be substantial, and therefore investors should understand the risks involved in taking leveraged positions and must assume responsibility for the risks associated with such investments and for their results.
Trade recommendations and profit/loss calculations may not include commissions and fees. Please consult your broker for details based on your trading arrangement and commission setup.
You should carefully consider whether such trading is suitable for you in light of your circumstances and financial resources. You should read the "risk disclosure" webpage accessed at www.DanielsTrading.com at the bottom of the homepage. Daniels Trading is not affiliated with nor does it endorse any third-party trading system, newsletter or other similar service. Daniels Trading does not guarantee or verify any performance claims made by such systems or service.
