On Friday, the 28th of February 2020, a raft of precious metals took heavy headers as palladium was plummeted as much as 13 per cent at one point of the intra-day trading before winding down the more than 10 per cent lower, while the precious safe-haven gold futures' prices fell as much as 4.6 per cent to mark up its largest intra-day fall in more than seven years, as thousands of newer coronavirus cases outside China that involved around fifty countries had stoked panic-stricken traders to go through an en masse sell-off spell across the board.
Aside from palladium and gold, other precious metals such as platinum alongside silver had also joined the virus-led free fall on Friday (February 28th), as platinum futures’ prices wrapped up the day down by 6.1 per cent while silver futures were slumped 7.4 per cent.
Meanwhile, adding that a number of investors were selling off anything that they could to meet their margin calls, an amount that the investors usually deposit to cover up their likely losses, a head trader at US Global Investors, Michael Matousek said on Friday’s market wrap-up, “A lot of investors and traders are having to meet margin calls for other products, so they are selling what they can.
That’s why it is hitting gold and the gold mining stocks. ” Quoting statistics, gold futures’ prices fell by 4.5 per cent to $1,568.96 per ounce, while US gold futures’ prices lost 4.6 per cent to 1,566.70 an ounce after hitting a seven-year peak of $1,688.66 on Monday (February 24th), while palladium drowned 10.8 per cent to $2,538.21 an ounce, remarking its steepest intra-day plunge since the great financial depression of 2008.
Besides, platinum futures’ prices shed 5.5 per cent to $849.63 to mark up its worst weekly downfall since 2008, while silver futures’ prices faltered as much as 7.2 per cent to $16.43 per ounce.