• 1 day The Problem With California's Electric Dream
  • 2 days TikTok’s 11th-Hour Reprieve
  • 2 days Wealthy Investors Have Been Fleeing Stocks Since April
  • 3 days Thorium Could Kickstart A New Nuclear Boom
  • 4 days Is A Massive Gold Rally On The Horizon?
  • 4 days Can Tesla Really Produce A $25,000 Self-Driving Electric Car?
  • 5 days Gold Miners Brace For Seasonal Downturn
  • 5 days The Silver Plunge Continues
  • 6 days 7 COVID Vaccine Stocks To Plan Upside Moves
  • 6 days Rhodium Climbs Reaches Record Highs
  • 7 days Tesla Tumbles After Battery Day Fails To Impress
  • 7 days Three Energy ETFs To Watch This Decade
  • 8 days What To Do With $2 Trillion In Suspicious Bank Transactions?
  • 9 days How The Stock Market Predicts Electoral Victory
  • 9 days Tesla's "Battery Day" Could Deal A Blow To Cobalt Miners
  • 10 days New TikTok Deal Hopes To Bypass National Security Concerns
  • 10 days Where Will Gold Go From Here?
  • 11 days COVID-19 Is Fueling A Pastic Waste Crisis
  • 11 days Gold Output Set To Decline
  • 12 days Uber And Lyft Look To Go Electric
Rhodium Climbs Reaches Record Highs

Rhodium Climbs Reaches Record Highs

This week Rhodium hit a…

Is A Massive Gold Rally On The Horizon?

Is A Massive Gold Rally On The Horizon?

Gold prices have fallen from…

The Silver Plunge Continues

The Silver Plunge Continues

Earlier in the week, silver…

Mining.com

Mining.com

Mining.com

MINING.com is a web-based global mining publication focusing on news and commentary about mining and mineral exploration. The site is a one-stop-shop for mining industry…

Contact Author

  1. Home
  2. Commodities
  3. Precious Metals

Gold Crashes Below $1,600

Gold

Gold could not escape the carnage on global financial markets on Thursday as the growing panic about the spread of coronavirus infections outside China saw the precious metal suffer one of its worst one-day drops on record.

Gold for delivery in April dropped at the open on the Comex market in New York and kept declining – hitting a day low of $1,560.40 an ounce just before midday, down $81.90 an ounce or 5% compared to Wednesday’s close.

In early afternoon trade the price climbed back above the $1,600 level, before weakening again to trade $70 down by 4:30pm with 55 million ounces of gold changing hands.

(Click to enlarge)

On Monday gold hit a seven-year high of $1,704.30 an ounce and remains up $37 year-to-date on the back of record-breaking ETF buying. Global gold-backed ETFs had $4.9 billion or 84.5 tonnes of net inflows in February, boosting holdings to new all-time highs of 3,033 tonnes.

Wild swings

Thursday was the biggest intra-day drop in the price since April 15, 2013 when gold was also trading in the mid-$1,500s. Gold ended that day more than $87 below the previous closing – and never recovered on its way to $1,050 an ounce three years later. Related: How Airbnb Uses Artificial Intelligence To Identify Risky Renters

In that session, 10 million ounces traded within 30 minutes – described as a “shock and awe” trading strategy by a short seller.

Gold hit a record $1,909 an ounce intra-day on 23 August 2011, but the next day suffered one of its few triple digit one-day losses when it plummeted $105, ending the week down more than 10% from the all-time high.

Adjusted for inflation, gold’s highest price point ever was on January 21, 1980 when the precious metal hit $850, only to plunge the very next day to $737.50, a 13% fall.

The biggest fall in percentage terms came in February 1983, when the yellow metal fell from $475 to $408.50 over two days, a 14% decline.  

By Mining.com 

More Top Reads From Safehaven.com:

Back to homepage

Leave a comment

Leave a comment