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Gold futures slide 1% after FBI clears Clinton

Published 11/07/2016, 02:48 AM
© Reuters.  Gold tumbles after FBI clears Clinton
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Investing.com - Gold prices fell sharply during European hours on Monday, as demand for safe-haven assets ebbed after the FBI said that no charges were warranted in the case of Democrat Hillary Clinton's use of a private email server, lifting a cloud over her presidential campaign just two days before the U.S. election.

Gold for December delivery on the Comex division of the New York Mercantile Exchange sank $15.15, or 1.16%, to $1,289.35 a troy ounce by 2:45AM ET (07:45GMT).

Prices of the yellow metal rallied to a five-week high of $1,309.30 last Wednesday, as investors were rattled by signs the U.S. presidential election race was tightening.

However, hopes for a Clinton win mounted after FBI Director James Comey informed Congress over the weekend that it had "not changed its conclusions" on the private email server maintained by the Democratic candidate

U.S. stock futures jumped more than 1% on the news, while the Mexican peso, which has acted as a barometer of the markets' perception of a likely Donald Trump victory, soared.

Also on the Comex, silver futures for December delivery shed 16.8 cents, or 0.91%, to $18.20 a troy ounce during morning hours in London, while copper futures rallied 2.9 cents, or 1.28%, to $2.294 a pound, the most since March 18.

Copper futures have been well-supported in recent sessions as traders bet that the global economy may be gaining momentum after a long period of sluggish growth.

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