Mid-Day Gold & Silver Market Report – 3/9/2011
At 12PM (CT) the APMEX precious metal prices were:
- Gold price - $1,430.90
- Silver price - $36.04
- Platinum price -$1,802.90
- Palladium price - $782.10
COMMENTARY: With the exception of silver, which has sprung up 32 cents, the precious metals market is flat so far today. Gold spot price is up $2.70 –Platinum is off 70 cents – Palladium spot price is down $5.60
Gold and silver, which are historically seen as safe haven assets, are moving up for this very reason. There is the mounting geopolitical tensions going on in the Middle East, as well as mounting concerns about inflation. Investors need a wealth protection strategy built into their asset allocation model and gold and silver provide this insurance (safe haven).
Pimco’s CEO Bill Gross announced today that they were selling all US Treasury Bond Holdings out of their largest fund. This is a clear indication that Mr. Gross does not feel there will be a QE3 and if the Fed quits buying Treasury Bonds, then who will? Mr. Gross stated, "Bond yields and stock prices are resting on an artificial foundation of QE II credit that may or may not lead to a successful private market handoff and stability in currency and financial markets.” According to Tyler Durden at Zerohedge, if Bill Gross does think there will be a QE3, it might be time to get out of all security classes, which include bonds and equities.