While OPEC signaled this weekend that it would not budge on an increase to crude output levels, the January crude contract added a mere 80 cents to close at $94.64 per barrel today. Volume on the NYMEX was light ahead of the Thanksgiving Day holiday, with some analysts noting that hits light trading exacerbated volatility. Also helping to boost crude prices was a rebound in the U.S. dollar, which gained against most of its foreign counterparts (with the exception of the Japanese yen).
However, it was this strengthening U.S. dollar that hampered an early attempt at a rally in gold prices. In fact, the December contract extended last week's $47-an-ounce loss, dropping $9 to close at $778 an ounce today. Gold indices were also lower on the day, Indexes tracking mining and metals shares declined on Monday, with the Philadelphia Gold and Silver Index (XAU) dropping about 5%, while the CBOE Gold Index (GOX) gave up about 4%.