Mid-Day Gold & Silver Market Report – 8/10/2011
The stock market has taken a downward turn, erasing the gains of yesterday, largely due to the relatively negative information coming out regarding France’s Societe General. Societe General is viewed as the largest bank in France and has seen a 21% decline. Bank of America and other large financial institutions are feeling the stock market pinch. The main issue is people were hurt during the previous financial crisis and regretted not getting out of the markets when they could. According to Ed Crotty, Chief Investment Officer at Davidson Investment Advisors, "Memories are fresh. People who during the last financial crisis did not sell right away, next time around are ready to sell quick and ask questions later. People are seeing this as 'next time.’”
A couple of interesting items to keep an eye on in the global context appear to be North and South Korea trading artillery salvos. This was the same location as previous a previous shelling in November. The other item that bears watching is the continuing escalation of violence in Syria. Turkish Prime Minister Tayyip Erdogan, whom at one time was a close ally of Syrian President Bashar al-Assad, declared in a visit to Damascus, "In Syria, the state is pointing guns at its own people…Turkey's message to Assad is very clear: stop all kinds of violence and bloodshed.” The U.S. Treasury Department has frozen the assets of the Commercial Bank of Syria in an attempt to stem the financial support of Assad’s assault on the citizens of Syria.
At 12:09 PM (CT) the APMEX precious metals spot prices were:
- Gold price - $1,783.60 -up $38.60
- Silver price - $39.24- up $1.25
- Platinum price - $1,769.00 – up $12.60
- Palladium price - $730.00 – down $6.50