Bloomberg the Company & Products

Bloomberg Anywhere Login

Bloomberg

Connecting decision makers to a dynamic network of information, people and ideas, Bloomberg quickly and accurately delivers business and financial information, news and insight around the world.

Company

Financial Products

Enterprise Products

Media

Customer Support

  • Americas

    +1 212 318 2000

  • Europe, Middle East, & Africa

    +44 20 7330 7500

  • Asia Pacific

    +65 6212 1000

Communications

Industry Products

Media Services

Follow Us

Gold Advances for Third Time in Four Days on Spain Bailout Talks

June 8 (Bloomberg) -- Gold gained for the third time in four days amid expectations that Spain may receive emergency assistance over the weekend.

European Central Bank Vice President Vitor Constancio said that a Spanish request is “awaited” and will be “exclusively directed at the recapitalization of banks.” The bid may come as soon as tomorrow when finance ministers hold a conference call, according to a person familiar with the plans who declined to be identified because the matter is confidential.

“The market is hoping that we will hear about some kind of aid announcement this weekend,” Frank McGhee, the head dealer at Integrated Brokerage Services LLC in Chicago, said in a telephone interview. “People want to cover their positions.”

Gold futures for August delivery climbed 0.2 percent to settle at $1,591.40 an ounce at 1:36 p.m. on the Comex in New York, trimming the weekly loss to 1.9 percent.

Yesterday, prices slumped the most in two months after Federal Reserve Chairman Ben S. Bernanke told lawmakers the central bank has options for further easing, while declining to specify them.

Bullion surged 70 percent from the end of December 2008 to June 2011 as the Fed kept borrowing costs at a record low and bought $2.3 trillion of debt in two rounds of so-called quantitative easing.

Silver futures for July delivery slid 0.2 percent to $28.471 an ounce on the Comex, declining 0.1 percent this week.

On the New York Mercantile Exchange, platinum futures for July delivery fell 1.1 percent to $1,425.10 an ounce. Palladium futures for September delivery dropped 2.2 percent to $612 an ounce.

To contact the reporters on this story: Nicholas Larkin in London at nlarkin1@bloomberg.net; Debarati Roy in New York at droy5@bloomberg.net.

To contact the editor responsible for this story: Steve Stroth at sstroth@bloomberg.net

Please upgrade your Browser

Your browser is out-of-date. Please download one of these excellent browsers:

Chrome, Firefox, Safari, Opera or Internet Explorer.