Greater London, England -- (SBWIRE) -- 10/30/2010 -- Nick Serff, Market Analyst, City Index (http://www.cityindex.co.uk) commented:

“The price of gold and silver continued to bounce back from its recent China rate hike triggered sell off today, posting modest gains going into the London close. Data out overnight showed that the Chinese economy continued to grow in the third quarter and that inflation was a little hotter than expected. This news along with the price of the Dollar coming back under pressure has seen investor demand for bullion once again enter the market.

Mining and precious metal shares have also benefited from today’s bounce back in bullion prices adding over 15 points to the FTSE 100 index. Anglo American has been the top performing blue chip miner after announcing its third quarter production report. The firm said that its platinum unit benefited from an 11 percent rise in refined platinum output and that it was on course to hit its full year targets.

The tech sector has also been strong today in Europe boosted by an 8 percent jump in Nokia shares after it reported its earnings. The company announced that handset sales remained robust and that the management had become more optimistic on its view of the market.

The price of Sterling remained under pressure for most of the day on worries that the second round of UK quantitative easing could be closer and bigger than expected than most investor thought. A weaker than expected retail sales number also weighed on the currency and highlighted concerns over the slowdown of the British economy.”

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