Mid-Day Gold & Silver Market Report – 2/10/2014
CHINESE DEMAND BOOSTS GOLD FOLLOWING LUNAR NEW YEAR
The Gold price is benefiting from strong demand in China as the Lunar New Year has come to a close and investors re-enter markets. “The reopen of China’s markets after being closed in celebration of Lunar New Year since Jan. 31 is an encouraging sign for the bullion markets and may help support Gold prices,” HSBC analysts said. The tapering of Federal Reserve stimulus measures seems to be priced-in to Precious Metals as Gold is up 6 percent on the year despite ongoing reduction in the scale of monthly bond purchases. As stocks have shown recent volatility over emerging market concerns, Gold looks to continue its rally as safe haven appeal has increased the yellow metal’s demand since the start of 2014.
U.S. stocks are down slightly today as investors await Fed chairman Janet Yellen’s first monetary policy report since taking office. “We would look for kind of a quiet day and perhaps the market setting up for tomorrow’s testimony,” U.S. Bank Wealth Management senior equity strategist Jim Russell said. “There might be some residual concern around what Yellen might say.” Most analysts believe Yellen will continue to perpetuate policy instituted by her predecessor Ben Bernanke. Monthly reductions of monetary stimulus have been announced over the last two Fed meetings and economists do not anticipate Yellen will do anything to disrupt domestic markets.
At 1 p.m. (ET), the APMEX Precious Metals spot prices were:
- Gold, $1,276.70, Up $11.80.
- Silver, $20.15, Up $0.15.
- Platinum, $1,387.50, Up $6.30.
- Palladium, $717.60, Up $7.80.
APMEX’s Account Managers now have extended hours Mondays through Thursdays and are here to serve you until 8 p.m. (EDT)! Or call us Fridays until 6 p.m. (EDT)! If you have any questions about investing in Precious Metals or simply would prefer to place your order by telephone, we are here to help.