Daily Gold Update

Source: Marketwatch

New York— Gold futures fell Wednesday after a downgrade for Portugal's debt pressured the euro and lifted the dollar, rattling gold and other dollar-denominated commodities. Gold for April delivery, the most actively traded contract, declined $14.90, or 1.4%, to close at $1,088.80 an ounce in electronic trade. The SPDR Gold Trust, the largest exchange-traded fund backed by gold, declined 1.7% to $106.38. Despite the rising dollar, prices held just below the $1,100-an-ounce mark for most of the session as good demand softened the impact of a weaker euro, said James Moore, an analyst with The Bullion Desk.

This week, however, may see investors testing new lows, leading to the possibility of a deeper correction for gold prices, he added. "The next couple of days can be a bit of a test," Moore said. Palladium led losses among metals, with the metal for June delivery falling $10.65, or 2.3%, to $453.90 an ounce. Silver, copper and platinum also ended lower Wednesday. See full story.