Morning Gold & Silver Market Report – 3/27/2013
Ryan Schwimmer
3/27/2013 8:17:00 AM
GOLD REGAINS $1,600 ON EURO WORRIES
Gold is looking to reclaim the $1,600 level this morning thanks to worries in the eurozone, though it is fighting a battle with upbeat U.S. economic data, as home prices and durable goods have improved. Dominic Schnider of UBS Wealth Management said, “When we get into the second half of the year, there will be growth and there will also be price pressure, which should give Gold stimulus towards $1,800 an ounce.”
The terms of the recent European Union bailout of Cyprus have caused some analysts to predict harder times ahead for the eurozone. Matthew Lynn of Marketwatch said, “The euro aimed to be a global reserve currency to rival the dollar. It was making some progress towards that. For example, 42 [percent] of Russian reserves were held in euros, and they are the fourth largest in the world. They won’t be staying there. Spain is already proposing a 0.2 [percent] levy on bank accounts. Others may well follow. Becoming a global reserve currency was meant to be one of the key benefits of creating the euro — there is no chance of that now. Instead, funds will flow out, hitting the currency, and more importantly damaging investment.”
At 9 a.m. (EDT), the APMEX Precious Metals spot prices were:
- Gold, $1,600.40, Up $2.20.
- Silver, $28.41, Down $0.35.
- Platinum, $1,580.40, Up $12.40.
- Palladium, $759.50, Down $0.90.
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
