Gold Stays in the Headlights as US Equities Soften After Long Weekend

Haywood (1) US equities enjoyed a negative week, after the country came out of the July 4th long weekend with the Dow Jones Industrial trailing down for the record high last Friday to close a week later at 16,944. Gold has maintained is polish as uncertainty has flared for old hotspots with the metal closing at $1,337 per ounce after trading up to $1,345 per ounce during the week. Geopolitics lit up over with week as Hamas launched a series for rocket attacks from Gaza and also southern Lebanon into Israel, where the target country has launched its own counter offensive and called up 33,000 reserves to bolster its military presence. The Ukraine still remains a source of military activity were no ceasefire has been reached between the Ukrainian government and the pro-Russian separatists. The European stock market witnessed a week-long slump that wasn’t helped by the report that Espirito Santo International had failed to make debt payments, which translated to a lift in US treasuries and gold, as pundits played the ‘risk-off’ trade in memory of the earlier European debt crisis. In the mining sector, early reporting has commenced with a range of producers reporting, including: Allied Nevada, Lake Shore Gold, Mandalay Resources, Copper Mountain, Timmins Gold, Capstone Mining, Fortuna Silver, and Dundee Precious Metals. Silver closed at $21.53 per ounce with platinum and palladium respectively closing at $1,512 and $874 per ounce. Copper closed firmer at $3.27 per pound.

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