LOS ANGELES (MarketWatch) — Gold on Wednesday started the fourth quarter where it ended to the third, and that’s in the dumps. The selling was even more pronounced in platinum, which pushed down to levels sot seen in five years.
At last check, gold for December GCZ4, -0.31% was down $4.80, or 0.4%, to $1,206.80 an ounce. December silver SIZ4, -0.04% gave up 11 cents, or 0.7%, to $16.95 an ounce.
On Tuesday, gold finished September with a 5.9% drop for the month, hit hard by a steady climb in the U.S. dollar. That’s the worst monthly tally since a grim June saw a 12% retreat in prices.
Michael O’Rourke of Jones Trading says there’s hope for gold bugs in the coming sessions.
“One catalyst for gold could be a flight to quality bid if equities continue to deteriorate,” he said. “From a timing perspective, the best opportunity would likely come when the dollar finally pauses to consolidate its current gains. Even the temporary dissipation of such a headwind would likely lead to a sharp rally.”
The damage was even deeper elsewhere in metals trading, with October platinum PLV4, -1.13% dropping $16.10, or 1.2%, to $1,282.40 an ounce. It hasn’t traded at these levels since 2009. A resumption in output from South Africa following a strike didn’t help.
Separately, December palladium PAZ4, -0.68% lost $5.35, or 0.7%, to $769.80 an ounce. High-grade copper for December delivery HGZ4, +0.45% was flat at $3.01 a pound.
