Closing Gold & Silver Market Report – 11/12/2013
GOLD, STOCKS FALL ON FED TAPER FORECASTS
The Gold price has fallen to its lowest level in one month today on anticipation that the Federal Reserve could begin tapering stimulus measures as early as December. As equities markets surge to new record levels and employment data continues to improve, Precious Metals prices are temporarily suffering losses. “Gold is still reeling from the jobs report last week, and Yellen’s Thursday hearing might be the next catalyst for gold,” Lido Isle Advisors’ president Jason Rotman said. “If she is very dovish, gold could snap back higher.” However, some experts see Gold as an excellent long-term buy due to ongoing Fed spending and lower interest rates. Because of those factors “This makes me believe that gold is a short-term sell, but a very good long-term buy,” Insignia Consultants chief market analyst Chintan Karnani said.
Speculation surrounding a sooner-than-expected reduction in quantitative easing has caused the Dow Jones Industrial Average to retreat from its record high. Strong corporate earnings figures along with an upbeat jobs report have increased the expectations that the Fed will continue its current level of stimulus for an extended period of time. “The jobs report Friday, that’s really what changed the idea that we could have a December taper, and ever since then you’ve had more and more comments coming out of the Fed that perhaps it is on the table,” Wells Capital Management chief investment strategist James Paulsen said.
At 5:14 p.m. (ET), the APMEX Precious Metals spot prices were:
- Gold, $1,268.00, Down $15.10.
- Silver, $20.74, Down $0.60.
- Platinum, $1,435.30, Up $1.90.
- Palladium, $741.10, Down $14.40.
APMEX’s Account Managers now have extended hours Mondays through Thursdays and are here to serve you until 8 p.m. (EDT)! Or call us Fridays until 6 p.m. (EDT)! 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.