Commodities plunge as the dollar strengthened on fearsâ€¦
Today, the precious metals appeal as an alternative investment has been corroded by the current strengthening of their opponent; the dollar, that is so far targeted by traders due to the fears spread within the currencies market as the US Job's report came out gloomy, having the Unemployment Rate for August inclining and coming in at 9.7%, which is worse than the forecasts and from the prior reading of 9.4%, illustrating that the world's largest economy remains weak as a result of the continuous deterioration of its key sector; the labor market.
In fact, the dollar index, which shows the strength of the green Federal currency in front of a basket of currencies, is inclining on a daily scale trading around 78.57 recording a high of 78.68 and a low of 78.23.
As a result, the yellow precious metal is witnessing a decline of its prices as the dollar is gaining momentum, knowing of course that these two have an indissoluble inverse relation, having gold prices so far trading at $990.97 an ounce recording a high of $995.17 an ounce and a low of $985.42 an ounce.
As for the other precious metals; the silver and the platinum, their prices are plummeting as well on a daily scale, having on one hand the platinum prices trading at $1251.50 recording a high of $1266.00 and a low $1247.00, whereas on the other hand the silver prices are trading at $15.97 recording a high of $16.25 and a low of $15.82.