Morning Gold & Silver Market Report – 8/18/2014

Paul Stevens

8/18/2014 8:42:21 AM

METALS FLAT AHEAD OF FED MEETINGS

Precious Metals are trading relatively flat through early morning trading.  News out of Europe that tensions in Ukraine are cooling pressured the metals but a drop in U.S. Treasury yields along with a relatively flat dollar is helping Gold stay around $1,300.   When asked if the news would affect the Federal Reserve’s monetary policy, Standard Bank analyst Walter de Wet said, “This $1,284-$1,300 range is providing very good support ... with the market pretty much pricing in most of the political tensions.”

As investors continue to monitor geopolitical situations around the world, a meeting held between Russia, Ukraine, Germany, and France has provided hope to an end to fighting in the region and a boost to world stocks.  Steen Jakobsen, chief investment officer at Saxo Bank A/S in Copenhagen said, “Every time you have a de-escalation of geopolitical risk it works favorably to the market… The short-term direction of the stock market at the moment is driven almost entirely by whatever news is coming out of the Ukraine, Russia situation. I see this as a temporary relief.”

At 9:42 a.m. (ET), the APMEX Precious Metals spot prices were:

• Gold, $1,298.60, Down $8.60.
• Silver, $19.60, Up $0.04.
• Platinum, $1,447.70, Down $9.50.
• Palladium, $900.60, Up $5.10.