NEW YORK (TheStreet) -- Gold futures were lower Tuesday, as the dollar traded mixed against the Euro and Yen.
Gold for December delivery was trading down $4.30 to $1,038.60 an ounce at the Comex division at the New York Mercantile Exchange. The contract has traded as low as $1,032.90 and as high as $1,044.30. The precious metal was trading well above is $1,025 support level.
Silver for December delivery was down 26 cents to $16.84 while copper prices remained relatively unchanged at $3.01.
When the U.S. dollar strengthens, gold, which is priced in dollars, becomes more expensive to buy. On Monday, the dollar rallied off a 14-month low vs. the euro, pummeling gold futures.
"The dollar hit extremely oversold levels and we saw somewhat of a natural bounce back in the dollar" says Brian Hicks, co-manager of the U.S. Global Investors Global Resources Fund. "On the positive side though, it looks like the dollar rebound didn't breach the strong down trend that we're seeing ... accordingly we saw gold pull back, but still above the technically important level of $1,025."
SPDR Gold Shares(GLD Quote) was off 11 cents $101.75 a share.
Gold stocks took a beating Monday, along with the broader equity market, and many were trading slightly lower on Tuesday . Shares Freeport-McMoRan Copper & Gold(FCX Quote) were off $1.09 $78.39, while Yamana Gold(AUY Quote) was 10 cents lower to $11.20. Shares of Newmont Mining(NEM Quote) and Barrick Gold(ABX Quote) were both moving higher, at $43.50 and $36.63, respectively.
Kinross Gold(KGC Quote) was sinking 4% to $19.27. On Monday, the company lowered its 2009 production guidance after reporting a lower than expected production rate for its Paracatu project in Brazil.
