Closing Gold & Silver Market Report – 12/2/2011
GOLD PRICES HOLD AS STOCKS GIVE UP EARLY GAINS
Gold prices maintained their morning gains, but the same was not true for the stock market. Stocks gained as much as 150 points, but gave back all of the gain by day’s end. It might be that Friday’s jobs report was not as positive as first viewed. The overall unemployment rate fell to 8.6%, but that might be explained by the number of people who have given up looking for jobs and are therefore no longer counted in the numbers. The number of discouraged workers rose by 129,000.
Chinese regulators implemented policy changes over the past year to encourage Chinese citizens to buy more Gold. China is currently behind only India in world Gold consumption. The new regulations obviously are working as Gold purchases in China via Hong Kong for the month of September jumped sixfold! The Chinese mainland imported a record 56.9 tons via Hong Kong in September. In the third quarter, China imported about 140 tons, which was more than the 120 tons imported in all of 2010. U.S. investors often forget that India and China have more to do with Gold prices than what happens here in the U.S.
Next Friday is the day European leaders will meet in Brussels, Belgium, and the world will be watching to see if they can come up with a viable plan to fix the eurozone’s massive debt problems. Stay tuned!
At 4 p.m. (CST), the APMEX precious metals spot prices were:
- Gold price -$1,747.10 – Up $9.30.
- Silver price - $32.68 – Down $0.07.
- Platinum price - $1,551.20 – Down $7.00.
- Palladium price - $644.30 – Up $14.10.