Closing Gold & Silver Market Report – 5/18/2011
FULL-DAY RALLY HOLDS UP PRICES – It sounds eerily familiar to last month’s story, but gold and silver both saw modest gains today. Silver led the rally gaining more than $1.50, while gold gained a respectable $16.40. Inflation fears both here and abroad are bringing investors back to precious metals for their safe haven appeal. Adding to the rally today was a weaker dollar. Recently, the dollar has been gaining strength against the basket of six currencies its compared against, luring investors away from gold.
Inflation readings out of the U.K. came in much higher Tuesday than expected, at 4.5%. Some experts have considered today's rally a delayed reaction to those readings. On this side of the globe, Lowe’s chief executive, Robert A. Niblock, said, “Rising gas and energy prices are cited by homeowners as the top factor affecting future spending plans, followed by the state of the overall economy and inflation in general.” Minutes from the April meeting of the Federal reserve were released Wednesday and they show that Fed officials were becoming more concerned about inflation last month and most prefer to raise rock bottom interest rates as their main tool for managing the economy.
At 4:15 PM (CT) the APMEX precious metal prices were:
- Gold price - $1,498.10 (up $16.60)
- Silver price - $35.13 (up $1.55)
- Platinum price - $1,772.70 (up $10.70)
- Palladium price - $737.50 (up $19.30)
Silver American Eagles, add them to your portfolio.