Gold, silver futures rebound on COMEX

New York (Platts)--19Jul2006

The volatility in precious metals continues; gold, silver and platinum
prices have rebounded Wednesday morning on the New York futures exchanges,
while palladium has continued to decline.

The nearby August gold futures contract on the COMEX rose $13.80 to
$643.30/oz at 10:53am EDT and the nearby September silver contract rose 43.5
cents to $10.96/oz. On the NYMEX, the nearby October platinum contract gained
$3.20 to reach $1,237.80/oz, but September palladium fell $3.20 to $311/oz.

The US dollar continues to hold steady against other major currencies,
trading at $1.2564/euro and yen 117.04 Wednesday morning.

Gold has been reacting mainly to the currency markets and geopolitical
concerns, according to trade sources. Investors have continued to seek refuge
in gold as violence flares up in various hot spots around the globe.

Over the longer term, TheBullionDesk.com analyst James Moore said: "I'm
still bullish on gold." He noted that once the price overcomes resistance in
the $665/oz region, it could go much higher.

"I think it will go back to the $730/oz and perhaps touch 750/oz by the
last quarter of this year," Moore said.

--Ovid Abrams; ovid_abrams@platts.com

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