At 12:30 p.m., gold for February delivery was up $5.30 to $1,365.80 per troy ounce. March-delivery silver futures rose $5.30 to $28.850 per troy ounce. April-delivery platinum deliveries climbed $6.80 to $1,823.25 per troy ounce. march-delivery palladium futures moved up $16.95 to $807.45 per troy ounce.
"Around this level, we still see quite good physical demand," Bruce Ikemizu, head of commodity trading at Standard Bank in Tokyo, told Bloomberg. "I'm rather pessimistic. The problems won't be resolved overnight. This European financial problem will be a long-term bullish factor for gold and precious metals."
Gold is en route to its first monthly decrease since July 2010 as investors closely monitor the ongoing banking and public finance disorder permeating European nations' financial institutions.
Gold prices are "starting to look attractive to Asian buyers," according to a report by VTB Capital analyst Andrey Kryuchenkov. The London-based analyst noted last week's success of euro zone debt auctions, but said "economic uncertainty in the monetary union remains."
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.