Gold Prices Falls as US Dollar Makes Further Gains

Today gold prices dropped $8.50, losing 1.1% to $732.60 as the yellow metal was under pressure from a US dollar that is rebounded significantly, having lost over 4% in a matter of weeks.

Gold futures for December delivery were down to $738.70 an ounce in trading on the New York Mercantile Exchange.

If the dollar gets stronger, commodities such as gold, which are priced in US dollar, decline in dollars.

However if the dollar falls, investors in gold and other precious metals could stand to make significant profits as Sam Kirtley, gold analyst from The Gold Prices Newsletter explains: “As the US dollar moves further south, gold moves further north. However gold moves up more than the US dollar falls in percentage terms, so we feel that there is a considerable amount of money can be made by investing in gold and gold stocks, as documented on our website.”

Do you think gold prices are going up or down?

And as regard to the US dollar, how can investors protect themselves from any possible further declines?