On the Shanghai Exchange yesterday, gold temporarily crossed the $1,100 benchmark to hit $1,088 an ounce, its lowest level since February 2010. At press time, the yellow metal’s spot price had recovered a bit to trade at $1,107 an ounce.
The price of platinum was faring even worse, sinking below $1,000, its lowest level in more than six years. At press time, it was trading at $969 an ounce.
Silver was also trading at six-year low. At press time, it was trading at $14.83, its lowest level since 2009. The metal previously nosedived to a $14.97 earlier this month.
Analysts gave a variety of reasons for the metals’ fall. Gold has been hurt by the continued strength of the U.S. economy, the U.S. dollar, and in particular Federal Reserve chair Janet Yellen’s indications that interest rates will rise later this year. The bailout of Greece has calmed fears of general instability, lessening the metal’s attractiveness as a safe haven. In addition, China reportedly sold off a large amount of its gold reserves.
Platinum was hit by the perception that supply was increasing while demand was low. Silver seems to have been affected by the weakness of precious metals and commodities in general.