Gold rises, silver at three-month highs

LONDON — Silver hit three-month highs in Europe yesterday, buoyed by strong investor interest, while gold rose but lacked momentum to make a decisive move higher.

By Reuters

  • Follow us on
  • google-news
  • whatsapp
  • telegram

Published: Fri 1 Sep 2006, 11:08 AM

Last updated: Sat 4 Apr 2015, 4:13 PM

Spot silver jumped just over 2.5 per cent to a peak of $12.79 a troy ounce, but then trimmed gains to $12.69/74 by 1442GMT, still up sharply from $12.47/12.57 in New York on Wednesday.

"It seems to be in solid hands. It has done extremely well and bucked the trend of many other (commodities). There is strong investment demand," one trader said.

Dealers were also hearing that a big U.S. managed futures fund had been buying up silver. Silver's profile has been boosted in recent months via an exchange-traded fund (ETF), allowing investors to buy a share in bullion that is then traded on the American Stock Exchange.

Prices have surged by some 35 per cent since hitting a low of $9.38 in the middle of June on concerns the growing popularity of the ETF would suck in a significant chunk of the metal supply.

Gold prices rose 14 per cent in the same period.

Barclays Global Investors' ETF, iShares Silver Trust, held just over 100 million ounces of silver as of August 30 worth $1,266 million.


More news from