Wednesday, March 26, 2008

Gold Futures Continue Rebound on Economic Concerns

The continual weakening of the U.S. dollar, along with ongoing economic news that confirms a slowing economy, is stimulating gold to rebound after the downturn last week, and it is walking with a swagger again.

April contracts for gold surged by $14.20 to finish the session at $949.20 an ounce on the NYMEX.

News that the Clear Channel Communications (NYSE:CCU) deal was ready to collapse, also reminded investors of the problems in the credit market, which also helped gold to move up.

The Amex Gold Bugs Index (HUI) also increased today, ending at 459.21 points, a 1.9 percent rise.

Some of sectors EFT fund rose as well, with the StretTracks Gold Trust EFT (NYSE:GLD) climbing to $93.80 and the Market Vectors-Gold Miners ETF (AMEX:GDX) increasing to $49.90.

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