Closing Gold & Silver Market Report – 10/20/2011
GADDAFI CONFIRMED DEAD; GOLD ENDS LOWER FOR FOURTH STRAIGHT DAY
Gold is closing lower for the fourth straight day, although it has risen since the mid-day commentary, amid uncertain optimism by traders and investors. The Dow Jones Industrial Average has closed opposite its direction the previous day for ten days in a row, indicating indecisiveness in the markets as bulls and bears battle to choose a new direction.
Greece’s parliament has passed the important austerity package required to receive another round of aid. The vote came amid mass protests and strikes across the country, and there were even reports of groups of rival protestors violently attacking each other in the nation’s capital.
The situation in Europe is critical for the U.S., despite U.S. banks holding relatively little debt from euro zone countries, according to the U.S. Treasury Department. “We have substantial trade and investment ties to Europe, and European financial stability matters greatly for consumer and investment confidence,” said Lael Brainard, U.S. Treasury Undersecretary for International Affairs. Brainard also warned of problems stemming from a possible slowdown in China, saying, “With demand in the advanced economies likely to remain weak, it is essential for emerging economic powers, such as China, to play a bigger role in bolstering and sustaining global growth.”
At 4:04 pm (CT) the APMEX precious metals spot prices were:
- Gold - $1,624.10 – Down $24.90.
- Silver - $30.66 – Down $0.67.
- Platinum - $1,498.80 – Down $24.30.
- Palladium - $590.00 – Down $20.40.