Gold Spot Price Open: $1,452
Gold Spot Price Close: $1,473
Change in Gold Spot Price:+$21
Silver Spot Price Open: $23.94
Silver Spot Price Close: $23.97
Change in Silver Spot Price:+$0.03
Gold made up for Tuesday’s losses and then some on Wednesday while silver, for the second straight day, stayed about the same. At the end of the day gold was up a little over 20 dollars while silver posted minuscule gains of only about 3 pennies.
China and Germany were two countries topping headlines on Wednesday as both posted better than expected economic reports. China’s positive report came in the form of a much better than anticipated trade surplus for last April. While it was expected that China would boast a 15 billion dollar trade surplus, actual figures rang in at about 18 billion dollars; roughly 3 billion dollars better than expected. It wasn’t just exports that were helping China run to the bank, their import numbers were good as well. This early morning news gave a small boost to gold and silver in the early morning hours.
German industrial production was the next piece of economic data that was positive on the day. Production numbers out of the EU’s leading economy were expected to be down by two tenths of a percentage point for last April, but instead numbers were up by over one percent. This is good news for the EU which has been struggling as of late, to say the least.
The US Dollar was weaker for a large part of Wednesday which is something that always helps the value of gold. Physical demand out of India is still high as a major holiday is fast approaching. Holidays, coupled with the fact that gold prices are still fairly low mean that physical demand for the yellow metal will likely remain fairly strong. If a weaker dollar persists over the course of the next two days, investors are hoping that we will once again see gold cross over the $1,500 threshold. More economic data out of the US is set to be released in the coming days which may influence precious metals one way or another so that is something to keep an eye out for.
