Mid–Day Gold & Silver Market Report – 2/1/2012
OBAMA PUSHES MORTGAGE PLAN; IS THE DOLLAR BILL DOOMED?
Precious metals prices were holding steady this afternoon compared with this morning’s prices. However, despite the lack of fluctuation, this past month has been the strongest January for Gold in more than 30 years. The price of Gold rose more than 11% for the month, the largest gain since August 2011. Also, U.S. manufacturing data showed its strongest improvement since June. Germany also is celebrating evidence of a healthier economy, which has in turn helped boost the euro as well as Gold.
Christopher Wolfe of Fitch Ratings said today that U.S. banks face a continuing trend of erosion or core earnings this year if they do not find new ways to cut costs to offset revenue pressures. Also, President Barack Obama has stepped in again to urge Congress to follow his plan to give homeowners a better chance at refinancing with historically low interest rates. The cost of his program is estimated to be between $5 billion and $10 billion, which has Republicans already saying they will not support it.
One U.S. congressman has his own idea of how to cut back some national spending by suggesting that the U.S. eliminate the $1 bill and replace it with a coin instead. U.S. Rep. David Schweikert, R-Ariz., said phasing out the dollar bill could save more than $5.5 billion over a 30-year period, as the coins would remain in circulation much longer than currency can.
At noon (CST), the APMEX precious metals spot prices were:
- Gold - $1,747.00 – Up $8.10.
- Silver - $33.85 – Up $0.52.
- Platinum - $1,622.00 – Up $32.90.
- Palladium - $696.20 – Up $8.90.