Friday, October 10, 2008

What's happenin with gold prices??

By The Star
Gold prices shot up in aftermarket trading Thursday after stocks plunged again, sending investors scrambling for safe places to put their money. Silver also rose.

Gold for December delivery jumped $32.30 to $918.80 in electronic trading on the New York Mercantile Exchange, after earlier closing $20 lower at $886.50.

Investors bought up gold, a traditional safe-haven asset, after fears of a deepening financial crisis sent U.S. stocks tumbling in a late-session swoon.

The Dow Jones industrial average fell 679 points.

Gold has been on the upswing in recent days as panic ripples through world markets, touching off a desperate search for safe-alternative investments.

The precious metal is an attractive investment in times of crisis because it's known for holding its value.

Silver prices also jumped, with the December contract adding 30.5 cents at $12.18 an ounce, after earlier settling 10.3 cents higher at $11.875.

December copper rose 5.1 cents to settle at $2.406 a pound.

In energy markets, crude oil closed at its lowest level in a year as falling demand for energy outweighed news that the Organization of Petroleum Exporting Countries will hold an emergency meeting to discuss oil's downward slide.

Light, sweet crude for November Delivery fell $1.81 to settle at $86.62 a barrel on the New York Mercantile Exchange, the lowest closing price since Oct. 15, 2007.

In aftermarket trading, prices edged below $85, a key technical level that traders say could signal another plunge.

In agriculture markets, grain prices traded mixed on the Chicago Board of Trade.

Wheat for December delivery fell 3.25 cents to settle at $6.0475 a bushel, while December corn rose 10.75 cents to settle at $4.3825 a bushel.

November soybeans rose 16 cents to settle at $9.80 a bushel.