Morning Gold & Silver Market Report – 4/6/2012
Ryan Schwimmer
4/6/2012 8:00:00 AM
MARKETS CLOSED TODAY; ADP JOBS REPORT WELL BELOW EXPECTATIONS
Though markets are closed today, U.S. stock futures may offer clues about movement after the weekend. After the ADP Jobs Report was released this morning, U.S. stock futures plummeted. Expectations were that trends would hold steady and the report would show 210,000 jobs added in March. The number reported was just 120,000, the smallest increase in five months. The unemployment rate fell to 8.2 percent, but that was due to a large number of people who dropped out of the labor force entirely.
PIMCO Chief Executive Mohamed El-Erian wrote that some investors believe central banks have no choice but to support markets with methods such as quantitative easing, while others disagree. “This uncertainty is not surprising,” he said. “(Central banks) are dealing with what (Federal Reserve) Chairman (Ben) Bernanke correctly called an ‘unusually uncertain outlook.’ They are forced to use blunt tools. They receive very little support from other government agencies. And their repeated interventions inevitably distort price signals, alter market functioning, and disrupt liquidity.” In times of economic uncertainty, Gold has performed quite well in a properly diversified portfolio.
Though some lagging countries in the eurozone are starting to shape up, Spain is one that is still behind. Nicholas Spiro of Spiro Sovereign Strategy believes that the budget unveiled in Spain this week failed the credibility test with markets. The overall unemployment rate in Spain is 23.6 percent, and the youth unemployment rate is about 50 percent.
Precious metals markets are closed today in observance of Good Friday. The latest APMEX precious metals spot prices were:
- Gold - $1,632.50.
- Silver - $31.78.
- Platinum - $1,607.00.
- Palladium - $646.80.
APMEX’s Account Managers are available today! If you have any questions about investing in precious metals or would simply prefer to place your order by telephone, we are here to help.
APMEX Market Reports provide our readers with a review of spot price activity and some of the factors that may be affecting the market for Precious Metals. While the information is obtained from sources we believe to be reliable, we do not guarantee its accuracy or its completeness and we encourage you to conduct your own investigation prior to making any decision based on the information. The Market Reports are not intended as a comprehensive discussion and there may be other factors affecting the financial marketplace. These Market Reports are provided for informational purposes only and do not constitute a recommendation by APMEX to hold, purchase or sell any Precious Metal product. All orders, purchases and sales, if any, are subject to the terms of the User Agreement and other applicable policies
