Gold Soars to 5-Week High on Major Rebound

Gold prices saw a massive rebound Monday and hit a five-week high, after prices overnight scored a three-week low. The huge daily trading range in gold prices was the largest in years. Several factors worked to support gold Monday, including heavy short covering and buy stop orders triggered in the futures, and bargain hunting in the cash market. A weaker U.S. dollar index and a bounce in crude oil prices Monday--and even some safe-haven demand--were also featured to start the trading week and the first trading day of the month. Silver also posted a mammoth rebound after hitting a five-year low in Asian trading. February Comex gold was last up $41.90 at $1,217.40 an ounce. Spot gold was last up $49.90 at $1,219.00.