Closing Gold & Silver Market Report – 8/11/2011
TRADERS OPTIMISTIC AS JOBS DATA PROVIDES A GLIMMER OF HOPE – In another rollercoaster day, stocks have closed significantly higher while gold and silver are down slightly. The jobless data, released this morning, helped to ease some fears that the U.S. was headed over the cliff of a double-dip recession. The report showed initial unemployment claims to state agencies were 395,000, beating market expectations by 5,000. In this market, even this tiny bit of good news gave traders new confidence.
Gold fell today, after making new record highs over an over for the last few weeks. The tumble came after an announcement by the Chicago Mercantile Exchange that it was increasing margin requirements on gold futures contracts in an effort to curb speculative buying. Today’s pullback could be limited by continued fears of losses in the European banking sector. Afshin Nabavi, head of trading at MKS Finance said, “There is still the uncertainty over a downgrade of France despite the rating agencies reaffirming (its) AAA rating, so it feels like gold could be in for another nervous day, with more possibility on the upside.”
At 4:15 PM (CT) the APMEX precious metal prices were:
- Gold price - $1,772.00 – down $14.30
- Silver price - $38.76 – down 68 cents
- Platinum price - $1,790.00 –up $18.30
- Palladium price - $743.40 – up $14.60