Commodity prices are taking a huge hit Monday morning, 4/15, with gold trading below $1400 at one point. It was last below this mark in February 2011.
So is the 12-year run in the precious metal officially over? Unless you believe gold is going to finish the year over $1675, the answer is ‘yes.’
One reason for the spectacular decline from $1578 on 4/5/13, less than two weeks ago, is selling by Cyprus’ central bank, which is selling off a lion’s share of its gold reserves as part of its bailout terms. The theory is other central banks in Europe may follow.
12/06 $638
12/07 $838
12/08 $884
12/09 $1096
12/10 $1421
12/11 $1566
12/12 $1674…twelve straight up years
*Gold’s all-time high is $1923, intraday, set on 9/6/11. For context, the S&P 500 closed that day at 1165 and finished at 1588 on 4/12/13.
For its part, oil was trading below $89.00 on Monday morning.
Oil (Light Sweet Crude)
12/06 $61.05
12/07 $95.98
12/08 $44.60
12/09 $79.36
12/10 $91.38
12/11 $98.83
12/12 $91.80
*Crude Oil’s all-time high was set on 7/11/08…$147
Wall Street History will return in two weeks with updated figures on housing.
