Gold rebounds to close higher after ECB hikes rates more than expected

Gold

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Gold futures reversed from earlier losses to finish Thursday at their highest price in more than a week, after the European Central Bank raised interest rates by more than expected, which capped gains in the U.S. dollar.

Front-month Comex gold (XAUUSD:CUR) for July delivery closed +0.8% to $1,712.70/oz, its best settlement since July 13, while July silver (XAGUSD:CUR) finished +0.2% to $18.687/oz.

ETFs: (NYSEARCA:GLD), (NYSEARCA:GDX), (GDXJ), (RING), (IAU), (NUGT), (PHYS), (SGOL)

The big precious metals miners are mixed, such as Newmont (NEM) -0.5% and Barrick (GOLD) +0.2%, but some names have broken out to solid gains, including (IAG) +3.9%, (HMY) +2.6%, (RGLD) +2.2%, (DRD) +4.4%.

Most silver stocks are lower, but Pan American Silver (PAAS) +4.6%.

The euro jumped against the dollar before paring gains, after the ECB raised interest rates by 50 basis points - the first time it has raised rates in 11 years - as inflation concerns outweighed worries about growth, even while the euro zone economy reels from the impact of Russia's war in Ukraine.

Prior to the ECB rate hike, the gold price had been bumping along below $1,700/oz, its lowest in 16 months.

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