US Scrap Gold prices advance; Gold Futures mark fifth weekly gain in a row

UNITED STATES July 04 2016 6:43 PM

NEW YORK (Scrap Register): United States scrap gold prices advanced on Friday, while gold futures prices at New York Mercantile Exchange marked its fifth weekly gain in a row, buoyed by a weaker U.S. dollar and strong demand for assets considered less risky in the wake of the U.K.'s vote last month to leave the European Union.

The major gold scrap commodities on the Scrap Register Price Index traded higher on Friday. The 9ct hallmarked gold scrap prices gained to $487.425 an ounce and 14ct hallmarked gold scrap prices advanced to $760.383 an ounce. The 18ct hallmarked gold scrap and 22ct hallmarked gold scrap prices also higher at $974.85 ounce and $1190.617 an ounce respectively.

According to Scrap Register Price Index, the 9ct non-hallmarked gold scrap prices jumped to $461.044 an ounce and 14ct non-hallmarked gold scrap prices rose to $719.228 an ounce on Friday. The 18ct non-hallmarked gold scrap and 22ct non-hallmarked gold scrap prices are also traded higher at $922.088 an ounce and $1126.176 an ounce respectively. 

The most active August gold contract on the COMEX division of the New York Mercantile Exchange settled higher by $18.40 to $1,339 an ounce on Friday. Gold futures prices were up 1.3% for the week and marked their highest settlement since July 10, 2014.

Safe-haven demand for the metal spurred most of the gains as investors rushed to protect them against the uncertainty in the lead up to Britain's shock vote to exit the European Union, dubbed 'Brexit.'

Concerns over the trajectory of global growth, dovish comments from the U.S. Federal Reserve Chair Janet Yellen and retail demand had supported gold ahead of last week's Brexit vote.

(This article is researched and compiled by Vibin Antony on behalf of Scrap Register. Send in your suggestions and comments to editor@scrapregister.com)