Daily Gold & Silver Market Report – 12/14/2015

Paul Stevens

12/14/2015 9:56:43 AM

INVESTORS KEEP WATCHFUL EYE PREPARING FOR FOMC MEETING

Precious Metal prices are relatively flat during Monday morning trading hours as investors prepare for news out of this week’s Federal Open Market Committee meeting.  The Federal Reserve has flirted with raising interest rates for the first time in nearly a decade and many expect an announcement once their final meeting for the year concludes Wednesday.  Although an interest rate hike would likely pressure metals and support the dollar, some analysts believe if the Fed does not pull the trigger, metal prices could be in for a rapid rise.  Analysts at Barclays in a note to clients stated, “With managed money accounts carrying large shorts into the FOMC meeting with high expectation of a hike, any disappointment could trigger aggressive short covering.”

As stocks around the world continue to display their weakness and with oil trading at its lowest point since December 2008, a new round of volatility is shaking up the markets.  Many analysts are concerned with the Fed’s plan to raise rates, as they feel the economy is not on strong enough footing.  Steve Barrow, head of G10 strategy at Standard Bank in London said, “Nerves are fraying ahead of the Fed's expected decision to lift U.S. rates on Wednesday. And this might just be a foretaste of what's to come if the market does not like what the Fed has to say on Wednesday.”

At 10:57 A.M. (ET), the APMEX Precious Metals spot prices were:

• Gold, $1,072.30 Down $6.60
• Silver, $13.83 Down $0.15
• Platinum, $852.40 Up $7.70
• Palladium, $548.00 Up $2.20

APMEX’s Account Managers now have extended hours Mondays through Thursdays and are here to serve you until 8 p.m. (EDT)! Or call us Fridays until 6 p.m. (EDT)! 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.