Posted on April 03, 2013
Gold Spot Price Open: $1,576
Gold Spot Price Close: $1,559
Change in Gold Spot Price:-$15
Silver Spot Price Open: $27.28
Silver Spot Price Close: $27.04
Change in Silver Spot Price:-$0.24
Gold and silver suffer huge days for the second day in the row as methodical sell-offs are mostly to blame. Gold ended the day down about 15 dollars while silver lost 1 penny shy of 25 cents, bringing two day losses for the metal over a dollar.
For the second day in a row, precious metals take huge hits despite there being no news stories to justify such heavy losses. Gold had such a dismal day on Wednesday that the metal hit its lowest point in almost an entire year. Despite seemingly daily increases in tensions across the Korean peninsula, and thus Asia as a whole, gold and silver saw no gains whatsoever. In the Asian market there was a slightly increased demand, but this is mostly due to investors looking to take advantage of the lowest precious metals prices they have seen in just about ten months.
The thought continues to be that at some point, so long as tensions between the two Koreas rise, people will turn to gold and silver as a safe place to put their assets but so far this has not proven to be true. Part of the blame for such dramatic dips in the value of precious metals could be attributed to stronger US stock markets, but even improved investor interest in stocks does not justify such a large drop-off.
Cyprus was in the news again on Wednesday because they have been given an additional 1 billion euros in what is being labelled as a “lifeline loan.” But even this news out of Europe had little to no impact on the prospects of precious metals. It is hard to say what the last two days of the business week hold for gold and silver, but if the past two days are any indication, it isn’t anything good.