by Polya Lesova
Last update: 2:49 p.m. EDT March 31, 2008
NEW YORK (MarketWatch) — Pressured by a firmer dollar, gold futures finished down sharply on Monday and for the month of March, but the precious metal advanced 10.3% during the first quarter.
On Monday, gold for June delivery ended down $15, or 1.6%, at $921.50 an ounce. For March, gold lost $50.60 or 5.2%. But for the first quarter, the precious metal still gained $86.60, or 10.3%.
Gold futures for June delivery dropped $8 to $928.50 an ounce on the New York Mercantile Exchange. Other metals also declined, and crude-oil futures tumbled 4.7%.
James Moore, an analyst at TheBullionDesk.com, wrote in a note that gold’s failure to “break above $951 Friday was interpreted as a short-term sell signal, and suggests further consolidation is necessary before gold can reclaim $1,000.”
On Friday, gold futures dropped $18.20 to end at $930.60 an ounce, though gold posted a gain of $10.60 for the week.
“Gold remains in a range between $905 and $955, but gold’s higher weekly close is constructive from a technical point of view,” said Mark O’Byrne, executive director at Gold and Silver Investments, in a research note.
“The weakening U.S. economy is obviously dollar bearish and conversely it is gold bullish, but more consolidation may be necessary before we get above the four-digit price again,” he said. . . .
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