Gold Spot Price Open: $1,248
Gold Spot Price Close: $1,255
Change in Gold Spot Price: +$7
Silver Spot Price Open: $20.23
Silver Spot Price Close: $20.51
Change in Silver Spot Price: +$0.28
Gold and silver were able to build upon Friday’s positive performance as investors continued to digest December’s weak employment data. When all was said and done, gold gained about 7 dollars while silver was able to gain close to thirty cents.
Investors were still pondering Friday’s employment data today as gold surged to its highest point in about 4 weeks. Friday’s significantly weaker than anticipated rise in non-farm payrolls for December has delivered a huge blow to overall confidence in the US economy, seen in today’s weak stock market performances. This means that investors the world over will heavily scrutinize any and all economic data released over the coming weeks. Tomorrow will give investors a great image of the overall economic atmosphere in the US as many companies will begin to publish their earnings reports from the 4th quarter of 2013.
The US Dollar, as it almost always does, moved in the opposite direction of precious metals all day long and ended the day very near a two-week low. If the US Dollar continues to lose strength as we progress through January gold and silver may finally have room to make some sustained, positive runs. The same can be said for precious metals should US stock markets continue to cool off from their hot streak that began mid-December.
Some investors are seeing Friday’s weak employment report as well as today’s poor stock market performances as reasons why the Fed may pull the cord on its recently implemented decision to taper bond purchases by $10 billion every month. The argument posed is not a strong one and while it is unlikely that the Fed will make any alterations to their initial tapering decision, it is interesting to ponder whether or not further tapering measures will be implemented at any time this year.
Gold and silver spot values may receive some additional help in the coming weeks as the Chinese Lunar New Year is scheduled to begin on the final day of the month. The Chinese New Year is a gift-giving holiday for many and gold is a typically gifted item.
