Posted on September 03, 2013
Gold Spot Price Open: $1,391
Gold Spot Price Close: $1,413
Change in Gold Spot Price: +$22
Silver Spot Price Open: $24.22
Silver Spot Price Close: $24.37
Change in Silver Spot Price:+$0.15
Gold and silver both made decent gains today as Americans made it back to the office after celebrating the Labor Day holiday on Monday. When all was said and done, gold gained over twenty dollars while silver picked up only about 15 cents, though it must be said that the silver metal’s two-day earnings are almost a whole dollar.
Today’s initial gains were attributed to bargain-hunting mostly due to a temporary decline in the spot value of gold and silver over the past few days. As the day wore on, however, safe-haven demand was to thank for precious metals’ upswing today as it was announced that the US Congress had approved President Obama’s request to use military force against Assad’s Syrian regime. The use of force in Syria will be directly attributed to allegations that Assad’s regime used chemical weapons in an attack against what ended up being mostly women and children. Though these attacks have not been proven to have originated from Assad’s regime, Obama and his colleagues have little doubt that Assad is, in fact, behind these reported chemical weapons attacks. The US is getting involved because the government cannot stand idly by while countries like Syria use chemical weapons, especially when these weapons are used against non-combatants.
The looming attacks on Syria have so far been met with protest by the American public who generally believes that another war in the Middle East is not only a waste of time for the US, but also a dramatic waste of money as well. As of now there is no word on when the US will follow through with their attacks, though in the lead-up to them investors can expect safe-haven demand for gold to rise once more.
As we look ahead to the rest of the week there is a number of stories investors will have to pay attention to. On Friday, a US jobs report will shed light on the state of the US economy as it currently stands. Additionally, both the Bank of England and the European Central Bank both have their monthly policy meetings on Thursday. All three of these events have the possibility of pushing gold and silver in one direction or another, though we will have to wait to see what direction that is.
All in all, it is safe to say that September will be a month buzzing with activity.