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Latest Business News

Gold, Silver Prices Fall

Tuesday, June 26, 2007 2:49:39 PM
By MADLEN READ

NEW YORK (AP) - Gold and silver prices tumbled Tuesday as traders took money off the table ahead of the Federal Reserve's meeting this week on interest rates.

Falling crude oil prices and rising Treasury yields also weighed on gold and on other metals, while wheat prices surged on concerns about tight supplies amid strong demand.

The 10-year Treasury note's yield rose to 5.10 percent from late Monday's 5.08 percent, after the Commerce Department's report on new home sales data showed a modest decline, topping many investors' dismal expectations. Recently, rising Treasury yields have put a damper on gold prices, because both are considered safe-haven investments; if government bonds are yielding more, then gold is less attractive.


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