Posted on May 27, 2014
Gold Spot Price Open: $1,293
Gold Spot Price Close: $1,264
Change in Gold Spot Price: -$29
Silver Spot Price Open: $19.50
Silver Spot Price Close: $19.11
Change in Silver Spot Price: -$0.39
Gold and silver both took heavy hits throughout the majority of the day on Tuesday as investors were greeted with a large quantity of bearish data. When all was said and done, gold lost closer to 30 dollars while silver declined by a little less than 40 cents. Gold is now sitting at a nearly 4 month low and is continuing to feel pressure.
Investor risk-appetite was on the rise on Tuesday after word got through that tensions across Ukraine continue to be taking steps backwards. As tensions continue to decline investors will more readily overlook the crisis in Ukraine as it is slowly but surely becoming nothing more than a regional issue. Early reports from this weekend’s presidential election in Ukraine are saying that billionaire Petro Poroshenko is set to take office, but these reports have yet to be confirmed. What we do know, however, is that declining tensions are very much working against the prospects and spot values of gold and silver thus far this week.
In other news from Europe, the euro currency was given a slight boost after reports confirmed that anti-EU parliamentary candidates were not, in fact, elected to office in neither Italy nor Germany. The calming of the EU marketplace has been beneficial for the euro today, but is just another factor putting downward pressure on gold and silver.
Finally, the large quantity of US economic data made public today also ended up being bearish for metals. Among today’s upbeat reports was the latest durable goods orders as well as the US flash services PMI. As it stands, gold is just barely hovering above $1,200/ounce while silver is a little more than ten cents over $19/ounce. If some bullish news doesn’t enter the marketplace in the next few days it is feared that gold and silver spot values will continue to decline back to pre-2014 levels.