Australia's second biggest gold company Lihir Gold Ltd (ASX:LGL) says the price of gold could climb to US$1,500 per ounce after it rose to a record high last week.
US markets were closed for the Labour Day public holiday, while Europe and Asia markets posted strong gains on Monday.
Overnight Wall Street was up on economic data, positive earnings and the nomination of Federal Reserve chief Ben Bernanke to serve a second term. The Conference Board's August index of consumer confidence rose for a second month, exceeding economists' forecast.
Wall Street ended modestly lower overnight after the Shanghai stock market slumped 5 per cent, a biggest single day decline of the year in China. The US stocks were also hit by the Commerce Department data that new orders for US manufactured durable goods fell 2.5 per cent in June.
Wall Street posted modest gains on Tuesday in choppy trade as investors started to be cautious after the recent rallies inspired by earnings results. In addition, US Federal Reserve Chairman Ben Bernanke said in testimony the pace of decline appears to have slowed significantly, but the financial system remained stressed and the labour market had continued to deteriorate.
The Australian shares closed lower as weaker commodities prices weighed on the resources sector. The benchmark S&P/ASX200 index fell 30.5 points, or 0.75 per cent, at 4031.7 points, while the broader All Ordinaries index shed 31.1 points, or 0.77 per cent, to 4030.4 points.
Yesterday the Australian shares closed with a three months high, lifted by stronger banks and resources stocks. The benchmark S&P/ASX200 index was up 2.2%, or 81.3 points, at 3752.9, while the broader All Ordinaries index also gained 2.2%, or 80.5 points, at 3698. The financial sector was largely buoyed by the US bank Goldman Sachs’ first quarter earnings.
Yesterday the Australia market stayed on the red for the third consecutive day. Both the Aussie dollar and the S&P 200 Index fell lower on the news of the latest GDP figures. The benchmark S&P/ASX200 index ended down 1.6%, or 52.8 points, at 3166.4, while the All Ordinaries index loses 1.4%, or 45.5 points, at 3125.9.
Yesterday the Australian market proved defiant and held its ground despite massive falls in the US, according to CMC Markets. Interestingly, the share market didn't react too much to the interest rate decision.
The Australian shares ended higher yesterday on the back of some better-than-expected earnings reports. The benchmark S&P/ASX200 index rose 35.7 points, or 1.1%, to 3448.9, while the broader All Ordinaries index gained 31.1 points or 0.9% to 3398.