Gold Spot Price Open: $1,426
Gold Spot Price Close: $1,394
Change in Gold Spot Price:-$32
Silver Spot Price Open: $23.42
Silver Spot Price Close: $22.62
Change in Silver Spot Price:-$0.80
Gold and silver continued their collective landslide on Wednesday as the USD and the Nikkei Index in Japan were two major sources of dismay for gold and silver investors. At then end of the day gold was down over 30 dollars while silver’s losses were closing in on a whole dollar.
The USD hit its highest point in nearly 10 months on Wednesday as investors are shying away from commodities such as precious metals at increasing rates. There was also news of incredibly low demand for Gold in India, which has been historically known to buy up large quantities of the yellow metal around this time of year. The fact that there is a general disinterest in precious metals both in Asia and around the world has helped drag gold down under the $1,30o mark.
After good news from Europe was reported yesterday, today brought us back to the same old stories. GDP in the first quarter of this year came back showing negative growth across the eurozone when compared to the final quarter of 2012. Posting growth of -.2%, Europeans are concerned as to just how they are going to be able to weather this elongated economic downturn. This news leads many to believe that the European Central Bank will continue easy monetary policies as the general European economy is still in dire straights.
The Bank of England announced that the UK’s economy is starting to recover, but added that this recovery will likely be a slow arduous one. As gold continues to slip it is unlikely that all of this week’s losses will be able to be recovered in the final two days of the week, especially because there are no foreseeable big news stories that have the potential to jump-start a turnaround.