Metals Recap: Gold and Silver Recover Off Lows

On Tuesday, gold?(NYSE:GLD) futures for December delivery declined $23.80 to settle at $1,652.80 per ounce, while silver (NYSE:SLV)?futures edged 1 penny higher to settle at $31.83. ?It was a volatile day for gold and silver. ?Gold futures hit an ultra-day low of $1,628, while silver hit $30.37.

Gold and silver fell early Tuesday as the US dollar (NYSE:UUP) gained strength and the Dow (NYSE:DIA) sold off. ?China slowdown fears paired with more poor bank earnings weighed on equities. ?China��s?(NYSE:FXI) economy grew 9.1 percent in?the third quarter from the previous year, representing its slowest growth since 2009. Economists had estimated a 9.3 percent growth.?However, in afternoon trading, equities and precious metals recovered. ?The Dow headed more than 100 points higher, as gold and silver bounced off intra-day lows.

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Gold miners (NYSE:GDX) such as Barrick Gold (NYSE:ABX) and Yamana Gold (NYSE:AUY) declined by nearly 1% in afternoon trading, while silver miners (NYSE:SIL) posted gains. First Majestic Silver (NYSE:AG), Endeavour Silver (NYSE:EXK), and Fortuna Silver (FSM) all climbed higher.

Freeport-McMoRan Copper & Gold (NYSE:FCX) continues to slide in the wake of production problems. ?Rueters reports that Freeport’s threat to close its Grasberg mine in Indonesia would hurt the company’s bottom line and could further tighten global copper (NYSE:JJC) supplies and drive up the metal’s price. ?”Any shutdown will have a serious impact on the prices and market psychology,” Terry Ortslan, a mining analyst said on Tuesday.

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