According to FactSet data, December December gold GCZ19 + + 0.61% at Comex gained $ 9.70, or 0.7%, to $ 1,509.20 an ounce, after recording a weekly decline of 1.1% on Friday. Silver for December delivery SIZ19, + 1.97% added 32 cents, or 1.8%, to trade at $ 17,885 an ounce, after a 3% weekly loss.
The event, described by commodity experts as the biggest disruption ever to crude production, has rocked markets because drops in oil prices could frustrate global economies. The kingdom has competed to bring back about a third of the cutoff production.
Oil gain comes after Saudi oil production facilities on Saturday were hit by a drone strike according to Saudi officials, which destroyed 5.7 million barrels of daily output, representing about 5% of global production.
Bruce Bittles chief investment officer at Baird, “Gold suffered an attractive pull last week, but remains an attractive alternative given the uncertain geopolitical backdrop and the possibility of sovereign debt expansion will be applied more broadly in relation to aggressive monetary policy.”
The trade in rods also comes as investors await Wednesday’s Federal Reserve policy decision, which calls for a rate cut that could affect gold and other metals./MarketWatch.com