Gold Rallies Back Above $1,800, HUI Climbs 1.1%

Gold reclaimed the $1,800 per ounce level Friday afternoon as the majority of the commodities complex rebounded from earlier weakness.

COMEX gold futures, per the December contract, initially slid toward $1,765 following release of Ben Bernanke’s speech after the Fed Chairman did not make any mention of QE3.

However, gold quickly bounced back, reaching an intra-day high of $1,812.60 per ounce at approximately 2:30pm ET and holding onto the majority of its gains later this afternoon.

Gold equities followed the yellow metal higher, with the AMEX Gold Bugs Index (HUI) reversing its earlier decline to advance 1.1% to 588.74.

Strength in gold coincided with weakness in the U.S. Dollar Index (DXY), which relinquished its earlier gains to trade lower by 0.6% at 73.81 against a basket of foreign currencies.