Mid-Day Gold & Silver Market Report – 9/9/2011
G7 CONFERENCE & ECB BOARD MEMBER STEPPING DOWN = ECONOMIC UNCERTAINTY
Since the Morning Gold & Silver Market Report, gold and silver have seemed to regain their footing while platinum and palladium continue to slide. There was an initial climb in stocks based on President Obama’s speech last night, but has since tailed off on heightened terrorism threats and unexpected volatility in European markets.
The news out of Europe continues to be a source of global economic concern, as Greece has come out to say they will not default over the weekend. A key ECB policymaker, Juergen Stark, has stepped down over objections to the current bailout plan in place for Greece. “Europe once again is leading the charge lower here …and the issues are not going away anytime soon,” said Ryan Detrick Senior Technical Strategist at Schaeffer's Investment Research. “While August is in the rearview mirror, the issues that caused the volatility in August are nonetheless still there.”
The G7 conference is also looking to be a bit more contentious than usual based on comments made by U.S. Treasury Secretary Tim Geithner, who said, "It is completely within the capacity of the stronger members of the euro area to absorb these costs…Those costs would be much, much greater for them and their economies if they sit here and do nothing, and they recognize that.” Asia currently shares the same concerns as the U.S. in regards to Europe being the driving force behind global economic concerns.
At 12:07 PM (CT) the APMEX precious metals spot prices were:
- Gold - $1,861.40 – Up $2.00.
- Silver - $41.75 – Down $0.86.
- Platinum - $1,837.50 – Down $18.00.
- Palladium - $738.70 – Down $26.60.