Gold prices traded marginally higher on Friday, holding above the $1,800 per ounce level after the U.S. November producer-price inflation came in slightly higher than expected.
Price action
-
February gold
GC00,
+0.44%
GCG23,
+0.44%
rose $9.70, or 0.5%, to trade at $1,811 per ounce on Comex. -
Silver for March delivery
SI00,
+1.29%
SIH23,
+1.29%
added 14 cents, or 0.6%, to $23.39 per ounce. -
March palladium prices
PAH23,
+0.09%
climbed by $17.90, or 0.9%, to $1,955 per ounce, while January platinum
PLF23,
-0.08%
retreated $2.50, or 0.3%, to $1.012 per ounce. -
Copper prices for March
HGH23,
-0.37%
slumped 2 cents, or 0.5%, to $3.863 per pound.
What’s happening
U.S. producer price inflation came in slightly stronger than expected in November, confounding the market’s expectations for a more pronounced drop after a promising moderation in the prior month’s data.
See: U.S. wholesale price inflation picks up in November, but is lower for year
But that didn’t happen, and gold prices eroded some of their earlier gains as a result.
“I’m amazed how many think that we’re just going to quickly go back to a pre-Covid environment with inflation and I just don’t see it, especially if one listens directly to what companies are saying,” said Peter Boockvar, chief investment officer of Bleakley Financial Group.
This post was originally published on Market Watch
