Mid-Day Gold & Silver Market Report – 9/11/2013
GOLD REMAINS FLAT AS SYRIAN DECISION POSTPONED
The Gold price remains relatively flat today following a fairly significant drop Tuesday. As it appears that all involved parties are seeking a peaceful resolution to the Syrian crisis, the safe haven appeal of Precious Metals was temporarily diminished. “Syria agreed yesterday to Russia’s proposal that it place its arsenal of chemical weapons under international control, whereupon a military strike against the Assad regime would initially appear to have been averted,” Commerzbank AG analysts wrote in a note Wednesday. “This reduces the demand for Gold as a safe haven. Additionally encouraged by climbing equity markets, [exchange-traded fund] investors have once again been selling their Gold holdings.” With the prospect of a military clash temporarily subdued, investors now look to next week’s Federal Open Market Committee meeting to gain insight regarding the Federal Reserve’s plans to the present level of monetary stimulus.
U.S. stocks are up again today as the S&P 500 is set to realize a seven-session win streak. With President Barack Obama resolving to delay the decision to act against Syria, equities markets were temporarily relieved from the geopolitical tension that traditionally impacts markets negatively. “We’re not out of the woods on news from Syria yet, but for the time being the market has digested the decision to delay action,” Russell Croft, fund manager at Croft-Leominster Inc., said. “Right now all eyes are on next week’s Fed meeting, that’ll be the big driver in the market with a few data points between now and then.”
At 1:11 p.m. (ET), the APMEX Precious Metals spot prices were:
- Gold, $1,365.70, Down $0.30.
- Silver, $23.18, Up $0.15.
- Platinum, $1,474.50, Down $0.60.
- Palladium, $692.40, Up $0.80.