Daily Gold Update

Source: Marketwatch

San Francisco— Gold futures climbed more than $5 an ounce Monday as a decline in U.S. stocks prompted the dollar to lose ground against its currency rivals. But gold prices still closed below $900 an ounce. Gold for August delivery finished the day at $897 an ounce on the New York Mercantile Exchange, up $5.50. It fell to a low of $890 earlier in the session. The contract closed out last week with a loss of 4.2%. It ended last month 2.5% higher.

"The two main drivers of the gold price, at the moment, remain oil and the U.S. dollar,"' said Peter Spina, an analyst at GoldSeek.com, in a report to clients sent Monday. "The oil price has pulled back from above $130 and the U.S. dollar has recovered just over 1% [vs. the euro]," he said. "But these moves are not sufficient to cause major moves in gold, so the churning will continue until there is good cause to move strongly, one way or the other." See full story.