On Friday, gold (NYSEARCA:GLD) futures for December — the most active contract — increased $2.30 to close at $1,312.20 per ounce, while silver (NYSEARCA:SLV) futures for September edged 21 cents higher to finish at $20.41. It was gold’s third consecutive day of gains.
Both precious metals received buying support as more positive reports emerged from China. The nation’s industrial output increased 9.7 percent in July from a year earlier, according to the National Bureau of Statistics in Beijing. Retail sales jumped 13.2 percent year over year, while consumer inflation was slightly below estimates.
Weakness is being seen in the equity market. The Dow Jones Industrial Average fell about 1.5 percent for the week, breaking its six-week winning streak. The S&P 500 and Nasdaq also finished the week in the red. In fact, it was the worst week for stocks since June.
The U.S. Dollar Index, which compares the greenback in a basket against six other fiat currencies, climbed to as high as 81.18. The Japanese yen declined as the nation’s finance ministry revealed that its debt has topped 1 quadrillion yen for the first time in history.
By the end of the trading day Friday, shares of the SPDR Gold Trust (NYSEARCA:GLD) closed flat, while the iShares Silver Trust (NYSEARCA:SLV) increased 0.8 percent. Shares of Newmont Mining (NYSE:NEM) and Barrick Gold (NYSE:ABX) jumped 2.5 percent and 1.9 percent, respectively. Endeavour Silver (NYSE:EXK) shares surged 9.2 percent.
Follow Eric on Twitter @Mr_Eric_WSCS
If you would like to receive professional analysis on miners and other precious metal investments, we invite you to try our premium service free for 14 days.
Disclosure: Long EXK, AG, HL, PHYS