Closing Gold & Silver Market Report – 1/15/2013
GOLD STARTS THE WEEK MOVING UPWARD
Gold has seen a two week high so far this week. Most financial experts agree that the yellow metal is set to continue its twelve year climb. Most forecasts point to central banks’ continuing stimulus programs and record low interest rates as driving factors of the Precious Metals market. The question is not about a rise in value, but how much. “Gold will definitely continue to rise but the euphoria has subsided,” Chief Market Strategist at National Securities Corp. Donald Selkin said. “While the rise may not be parabolic, we will see higher trading,” Peter Sorrentino, who helps manage assets at Huntington Asset Advisors in Cincinnati, said. “The money from all that easing is out there. The depreciation and loss of purchasing power will continue to manifest itself as we go forward.”
In the past few weeks, the United States media was engulfed in the fiscal cliff. While the U.S. government was able to avoid the cliff, they might not be able to dodge the debt ceiling. Experts agree that breaching the debt ceiling will have a much more dramatic impact on the U.S. economy than going over the fiscal cliff would have caused. “At current rates of spending and taxation, federal receipts cover less than 74 percent of federal outlays. So if the government hits the debt ceiling at full speed, total outlays — which includes everything from Social Security benefits to soldiers' pay to interest on the national debt—will have to be trimmed by more than 26 percent immediately. That amounts to more than 6 percent of GDP, far more than the fiscal cliff we just avoided,” Alan Blinder of the Wall Street Journal said.
At 5 p.m. (EST), the APMEX precious metals spot prices were:
- Gold, $1680.90, Up $9.50.
- Silver, $31.42, Up $0.27.
- Platinum, $1683.00, Up $24.80.
- Palladium, $711.50, Up $7.20.
APMEX’s Account Managers now have extended hours Mondays through Thursdays and are here to serve you until 8 p.m. (EST)! Or call us Fridays until 6 p.m. (EST)! If you have any questions about investing in Precious Metals or simply would prefer to place your order by telephone, we are here to help.