Mid-Day Gold & Silver Market Report – 6/16/2011
GOLD AND SILVER YO-YO, IMF VOWS CONTINUING SUPPORT OF GREECE
Gold and silver have had a jumpy day, so far, but ultimately have remained flat. The jobless claims report released this morning didn’t have much of an impact on precious metals, but it did seem to boost U.S. stocks. Also helping stocks was the claim from the International Monetary Fund that they would continue to support Greece through their debt crisis. The IMF is anticipating a positive outcome from the next round of meetings with eurozone leaders. A recent report showed that if/when Greece defaults on their debt, U.S. banks are at risk to the tune of $41 Billion.
While news that the IMF would continue supporting Greece helped U.S. stocks, the euro slid as the Greece situation worsens. The dollar is up on the euro, though not as much as it was before a factory activity report was released. The report showed that activity in the Mid-Atlantic region shrank unexpectedly in June. This is the second straight day that manufacturing weakness was shown by reports.
The military crackdown on protests in Syria seems to be gaining steam, as tanks and armored vehicles reinforced positions in a northern town, Maarat al-Numaan. Thousands of people have fled Syria, most moving into Turkey, to avoid the military. The most recent estimate of civilian deaths since the conflict started is 1,300. In Libya, Muammar Gaddafi is reportedly willing to hold elections, even going so far as to say he would step down if he lost. Rebels have dismissed the offer, but there is speculation that this could test the relationship of outside forces trying to force Gaddafi out.
At 12:00 pm (CT) the APMEX precious metals spot prices were:
- Gold price - $1,528.70 (up $2.00 on the day)
- Silver price - $35.59 (up $0.10)
- Platinum price - $1,760.00 (down $15.20)
- Palladium price - $765.50 (down $12.50)