7/30/2014 4:24:28 PM By: Paul Stevens

 

METALS FLAT AFTER DATA, FED ANNOUNCEMENT 

Precious Metal prices finished the day trading mostly sideways.  After the Federal Reserve hinted toward their plan to continue tapering asset purchases and maintain an easy monetary policy, stocks and Precious Metals wavered slightly. However, with jobs data being released Friday, many will keep a watchful eye. Bruce McCain, chief investment strategist at Key Private Bank, said, " The bulls look at the strength in the second quarter, and the skeptics say you' re getting a lot of bounce back from first-quarter weakness. The question is how do things look in the third and fourth quarters, and the answer is we don' t know. A lot hinges on the employment report on Friday."

The U.S. dollar held small gains against other world currencies Wednesday, which is somewhat surprising considering the Federal Reserve reiterated they are in no hurry to increase interest rates. Tom Porcelli, chief U.S. economist at RBC Capital Markets in New York, said, " We only expected marginal changes, and for the most part we got that  --- with the caveat that they were a bit more hawkish than was widely expected."

At 5 p.m. (ET), the APMEX Precious Metals spot prices were:

• Gold, $1,296.60, Down $3.40.
• Silver, $20.66, Up $0.08.

7/30/2014 8:17:25 AM By: Ryan Schwimmer

 

METALS PRICES FLUCTUATE WITH DATA

Gold and Silver prices have endured rocky terrain in morning trading. First, the ADP private-sector jobs report showed a disappointing increase of 218,000 jobs in July, and Gold and Silver were flat. Then, an announcement that economic growth from 2011-2013 was trimmed to two percent caused Gold and Silver prices to rebound into the black. Finally, data showed the economy expanded by a whopping four percent in the second quarter of this year, which caused a slight pullback from the morning' s highs.

U.S. stock futures added to gains after the bevy of data released this morning. IG market strategist Evan Lucas said, " GDP is actively watched by the Federal Open Market Committee (FOMC) and if the figure is growing at a rate higher than official estimates, chatter of rate rises will hit [Wall] Street." Stocks are also being bolstered by a huge increase in Twitter stock, which gained 30 percent in after-hours trading Tuesday.

At 9 a.m. (ET), the APMEX Precious Metals spot prices were:

• Gold, $1,300.00, Even.
• Silver, $20.68, Up $0.10.

7/29/2014 4:01:05 PM By: Ted Prince

 

GOLD LOWER AS INVESTORS AWAIT FED MEETING OUTCOME

The Gold price retreated from a one-week high today as investors eye the outcome of the Federal Reserve' s policy meeting tomorrow.  Though geopolitical turmoil in the Middle East and Ukraine continues to assist in buoying Gold and Silver, hawkish comments from Fed Chairwoman Janet Yellen regarding the future of interest rates in the U.S. could weigh on metals.  " I' m actually surprised that gold isn' t up more, given the numerous geopolitical risks," Commerzbank analyst Daniel Briesemann said.  If escalating tension overseas continues to persist, safe-haven demand for Gold and Silver could increase in the short-term.

U.S. stocks are trading lower today as geopolitical woes took the forefront and outweighed the impact of Fed policy speculation.  " Geopolitical risk remains a risk," Dan Veru, chief investment officer at Palisade Capital Management, said.  " What ultimately makes stocks go higher is earning and earnings are supporting higher valuations in the market."   As the European Union and U.S. impose sanctions on Russian banks and financing, investors will await further news as to whether the situation could become increasingly unstable.

At 5 p.m. (ET), the APMEX Precious Metals spot prices were:

• Gold, $1,300.30, Down $5.10.
• Silver, $20.62, Up $0.06.

 

7/29/2014 8:53:06 AM By: Paul Stevens

 

METALS UP AS HOME PRICES DOWN

Precious Metals are showing small gains and are higher through early morning trading.  As investors prepare for a week full of closely watched economic data, speculation on the direction of metals is growing while geopolitical turmoil continues to dominate the news.  Commerzbank analyst Daniel Briesemann said, " I' m actually surprised that Gold isn' t up even more, given the numerous geopolitical risks.  We' ve had some relatively good economic data published of late, and we' re currently seeing a stronger dollar. That is keeping the price in check."

U.S. stock futures rose Tuesday while data showed a decline in pending U.S. home sales.  After the first decline in more than four months, Marshall Gittler, head of global FX strategy at IronFX, said the report " confirmed [Federal Reserve] Chair [Janet] Yellen&rsquo s remarks before the Senate Banking committee earlier this month about the overall slowdown in the housing sector."

At 9:52 a.m. (ET), the APMEX Precious Metals spot prices were:

• Gold, $1,302.70, Down $1.60.
• Silver, $20.61, Up $0.05. 

 

7/28/2014 3:56:36 PM By: Ted Prince

 

GOLD, EQUITIES EVEN AS MARKETS AWAIT FED ANNOUNCEMENT

Gold is trading flat today as investors weigh geopolitical turmoil and await the Federal Reserve' s monthly policy meeting later this week.  Though there are pervasive expectations for another $10 billion reduction in stimulus measures, most investors are anxiously awaiting news on the future of U.S. interest rates. In his latest analysis, Mitsubishi Precious Metals strategist Jonathan Butler said, " The Fed is likely to sound another cautious note on interest rates at [Wednesday' s] meeting, but any signs of an early rate tightening will be seized on by Gold bears."   As violence continues to erupt between Hamas and Israel, there remains upward pressure on Precious Metals as Gold and Silver have both traditionally benefited from times of geopolitical unrest.

U.S. stocks are also relatively flat today as equities investors also await the conclusion of the Fed meeting.  " The market has been very benign," Pioneer Investments investment strategist Sam Wardwell said. " You got a little bit [of]geopolitical fear out there. We' re still on track and as long as wars in the rest of the world don' t upset the upper card, the second half of this year continues to look like it' s going to be a gradually improving year."   The stock market has been on a tear in 2014 with the S& P 500 reaching another all-time high at the end of last week.  Many traders and investors will likely stay sidelined this week until the conclusion of the Fed meeting gives a clearer picture for the near-term future of Gold and equities.

At 5 p.m. (ET) the APMEX Precious Metals spot prices were:

• Gold, $1,304.80 Up $0.50
• Silver, $20.62 Down $0.02

7/28/2014 8:38:14 AM By: Ryan Schwimmer

 

HEAVY WEEK OF ECONOMIC NEWS AHEAD

The Gold price has recovered a slight loss from earlier this morning as a  stronger U.S. dollar puts pressure on the yellow metal. The coming week is rife with economic data and events, which will be heavily analyzed for clues to when the Federal Reserve will increase interest rates. The Fed&rsquo s policy meeting concludes Wednesday, the same day that second-quarter gross domestic product data is released. Thursday marks the usual weekly jobless claims report, and Friday brings the heavy hitter --- non-farm payrolls figures.

U.S. stock futures are mostly lower as  concerns over a bursting of the stock bubble remain. Valutrades analyst Joao Monteiro said, " This story may be looking a little over-brokered, but with the quiet summer sessions lying ahead, even just a small shock could be all it takes to precipitate a big move." Meanwhile, Goldman Sachs downgraded its three-month view on global stocks to neutral.

At 9 a.m. (ET), the APMEX Precious Metals spot prices were:

• Gold, $1,305.40, Up $1.10.
• Silver, $20.69, Up $0.06.

 

 

 

 

7/25/2014 3:38:06 PM By: Brandi Brundidge

 

GOLD RISES DURING UNCERTAINTY U.K. EXPECTED TO IMPOSE SANCTIONS ON RUSSIA

The Gold price continued to climb Monday as geopolitical tensions grew over the controversial Malaysia Airlines Flight 17 that was supposedly shot down by Ukrainian rebels. U.S. Secretary of State John Kerry confirmed Sunday there is strong evidence suggesting Russia provided the missile that Ukrainian rebels used to shoot down the jet. The safe haven appeal of Gold has been supported by concerns between Ukraine and the Middle East, which has sparked a 9.4 percent gain for the yellow metal this year. " Escalation of sanctions on Russia and more geopolitical problems in Gaza are keeping Gold supported," George Gero, a vice president and Precious Metals strategist at RBC Capital Markets in New York, said in a telephone interview. " There are enough fundamentals to keep prices over $1,300 [per ounce] for some time."

EMERGING MARKETS MAY BOLSTER GOLD PRICES

According to a recent research note from Bank of America/Merrill Lynch,  the worst may be over for the Gold market. " After the sharp correction in 2013, Gold prices have stabilized this year. Looking at supply and demand dynamics, this was heavily influenced by reduced investor selling at the same time as physical offtake from emerging markets has been steady," BoA/ML analyst Michael Widmer said in the research paper. The price going forward will greatly be supported by buying in the emerging markets. " We believe that physical demand from emerging markets will gain further clout in the medium term as countries get more affluent, suggesting the worst may be behind the Gold market," Widmer said.

MIDDLE EAST DEMAND COULD BOOST LONG-TERM GOLD PRICE

The Gold price shifted slightly lower Tuesday as speculation regarding a  near-term hike in interest rates  weighed on the yellow metal. Though Gold was still trading above $1,300 an ounce, higher interest rate expectations sidelined some Precious Metals investors. However, geopolitical crises are still offering some support and the announcement of trade expansion for bullion in the Middle East could force prices even higher over the long term. A spot Gold contract has been extended into Dubai and is expected to  boost the region' s demand for physical bullion  delivery. " We believe the Middle East has a lot of potential to catch up with the rest of the world," Frederic Panizzutti, chief executive officer of Dubai' s MKS Precious Metals DMCC, said.

METAL PRICES FLAT AS UKRAINE, ISRAEL DOMINATE HEADLINES

Precious Metal prices traded flat Wednesday. Although this was the second straight day Gold futures declined,  continued turmoil in the Middle East and Ukraine  provided support to metals. Blake Robben, a senior market strategist at Archer Financial Services in Chicago said, " There is definitely some temporary support because of geopolitical tensions, but the strength in the equity market continues to be a big headwind."

DEMAND FOR SAFE-HAVEN AND " RISKY" ASSETS INCREASE

Equity markets around the world edged slightly higher Wednesday after data showed solid corporate earnings, increasing the demand for more " risky" assets. However,  strong demand for safe-haven assets has continued  as investors monitor geopolitical situations around the world. Rick Meckler, president of hedge fund LibertyView Capital Management in Jersey City, New Jersey said, " The bottom line is investors have moved away, for now, from the big political stories and are refocused on earnings, which in general have been good."

GOLD DOWN AMID EIGHT-YEAR LOW JOBLESS CLAIMS

 

Strong data out of China and the eurozone pressured Gold below the $1,300 per ounce level in early-morning trading Thursday. Physical demand for Gold in China increased after the price fell though is still considered weak  when compared to earlier this year. Natixis analyst Bernard Dahdah said, " The market is going to follow very closely any comments from the Federal Reserve about interest rates as that is likely to continue having an impact on Gold' s trading pattern."

U.S. JOB MARKET SHOWS RECOVERY

 

U.S. jobless claims fell to their lowest level in eight years, according to  data released by the Labor Department Thursday. The figure of 284,000 is much lower than the expected 310,000, which pressured Precious Metals. The four-week moving average fell to its lowest level since May 2007. U.S. stock futures increased, pointing toward a higher open for Wall Street. The Dow Jones Industrial Average held above 17,000 and the S& P 500 index closed in on 2,000.

GOLD RECOVERS FROM FIVE-WEEK LOW

 

The Gold price recovered from a five-week low as it  climbed closer to the psychological $1,300 per ounce level  Friday. Commerzbank analysts cite the low demand in Asia as a main reason for Gold' s trouble breaking higher. They wrote, " The World Gold Council' s forecasts of Chinese Gold demand, which were issued at the beginning of the year and envisaged demand being on a similar scale in 2014 as it was in 2013, meanwhile appear ambitious. In our opinion, the weak Gold demand figures to come out of Asia - not only China - of late preclude any rise in Gold prices."

At 4:35 p.m. (ET), the APMEX Precious Metals spot prices were:

• Gold, $1,308.40, Up $16.60.
• Silver, $20.76, Up $0.34.