Precious Metals Rebound Despite Iranian Nuclear Deal
On Monday, gold (NYSEARCA:GLD) futures for February — the most active contract — dipped $3.00 to close at $1,241.60 per ounce, while silver (NYSEARCA:SLV) futures edged 3 cents higher to finish at $19.93. Major exchange-traded funds, like the SPDR Gold Trust and iShares Silver Trust, managed to close in positive territory.
Gold and silver rebounded throughout the day after dropping in early trading on news that an agreement was reached on Sunday to reduce Iran’s nuclear activity in exchange for sanctions relief. The deal involves Iran and six world powers: The United States, France, Germany, Britain, China, and Russia.
Reuters explains that, “The agreement, which halts Iran’s most sensitive nuclear activity, its higher-grade enrichment of uranium, was tailored as a package of confidence-building steps towards reducing decades of tension and ultimately creating a more stable, secure Middle East.”