Closing Gold & Silver Market Report – 4/10/13

Ted Prince

4/10/2013 4:22:00 PM

FED MINUTES SOFTEN METALS, BOOST STOCKS

Precious Metals reacted with dips in both the Gold and Silver prices today as the release of the latest Federal Reserve minutes indicated a contingent of policymakers who expect to rein in the current strategy of monetary easing. The Fed news coupled with later reports that Cyprus plans to raise 400 million euros by selling off its surplus Gold reserves to help fund a portion its bailout. "The other day we went up on short covering. People saw the failure to break above $1,600, so the shorts are dipping their toes back in again and re-establishing their positions based on that news," said David Lee at Heraeus Precious Metals Management. Though perceived improvements in the U.S. economy since last fall are the impetus for certain Fed members to propose a reduction in stimulus measures, March payroll data showed weak employment numbers, which has left many analysts dubious regarding the early slowdown of monetary easing.

The Dow Jones Industrial Average and S&P 500 advanced today with index having its strongest session in six weeks. Both the Dow and S&P reacted positively to reports that certain Fed officials have recommended tapering off monthly asset purchases of$85 million per month. Federal Reserve chairman Ben Bernanke expressed commitment to his monthly bond purchase program until U.S. unemployment reaches the desired level. The proposed target of six percent unemployment has still yet to be achieved which has kept many economic experts confident that stimulus will continue for the foreseeable future.

At 4:00 pm (EDT), the APMEX precious metals spot prices were:

• Gold, $1560.40, Down $27.80.
• Silver, $27.68, Down $0.31.
• Platinum, $1528.10, Down $26.00.
• Palladium, $721.50, Down $12.60.

APMEX’s Account Managers now have extended hours Mondays through Thursdays and are here to serve you until 7 p.m. (CDT)! Or call us Fridays until 5 p.m. (CDT)! If you have any questions about investing in precious metals or simply would prefer to place your order by telephone, we are here to help.