The Dow Jones Industrial Average edged up slightly today, ending nearly one-half of one percent higher, as investors regained a bit of optimism about the economy. Although trading was very light, this move continued the progress made over the last two weeks. Some of the optimism in the marketplace can be attributed to the decrease in jobless benefits claims.
The Labor Department announced that initial jobless claims have dropped by 27,000 to 451,000 new claims for the week ending September 4th. The U.S. Dollar fell against most foreign currencies, while the Canadian Dollar touched a three-week high on speculation that their central bank will increase borrowing costs.
The International Monetary Fund (IMF) announced the sale of 10 Metric Tons of gold to the Bangladesh Bank, the central bank of that nation. This sale is part of the 403.3 metric tons approved for sale by the IMF Executive Board. The nations of India, Mauritius, and Sri Lanka have already made purchases from the IMF as part of these 403.3 metric tons. A Senior Trader at the Korea Exchange Bank Futures Company was quoted as saying, “[the transaction] will push gold higher as central bank purchases have traditionally been a major factor fueling the price. Central banks want to diversify their reserves because of the unstable dollar and we may see more buying down the road.”
Further IMF sales and the hope that India’s fall wedding and festival season will inspire a dramatic upswing in consumer purchases of gold jewelry may possibly move gold prices higher due to increased demand.
Spot gold prices opened this week at $1,247.20. The high during the week was on Wednesday, September 8th, at $1,264.70, while the low for the week occurred on Friday, September 10th, at $1,237.90. Gold ended the week up $0.80 at $1,248.00. This week, popular gold bullion products were 2010 1 oz. Gold American Eagles, 2010 1/10 oz. Gold American Eagles, 2010 1 oz. Gold Buffalos and 1 oz. Pamp Suisse .9999 fine Gold Bars.
Spot silver prices opened this week at $19.87. Silver reached a high of $20.18 on Wednesday, September 8th, while this week’s low for silver occurred on Tuesday, September 7th, at $19.59. Silver ended the week up $0.05 at $19.92. Popular silver products this week were 2010 Silver American Eagles, 1 oz. Silver Buffalo Rounds, 1 oz. APMEX Silver Rounds, and 1/2 oz. APMEX Silver Rounds.
Spot platinum prices opened this week at $1,554.50 and ended the week down $11.50 at $1,543.00. 1 oz. Pamp Suisse Platinum Bars, 1 oz. Scotiabank Platinum Bars, 1/4 oz. Platinum American Eagles were popular again this week with investors.
Spot palladium prices opened this week at $533.20 and ended the week down $11.30 at $521.90. 1 oz. Pamp Suisse Palladium Bars and Palladium Canadian Maple Leafs remain very popular with palladium investors.
Featured Bullion Product:
Each week, APMEX will review a different bullion product for the benefit of our readers. This week, we will review the 2011 Silver Canadian Timber Wolf 1 Ounce Coin.
The 2011 1 oz. Silver Canadian Timber Wolf coins have just been released! The Canadian Timber Wolf coin is the first coin released in the Royal Canadian Mint’s 3-year long “Canadian Wildlife Coin Series” program. The second coin is scheduled to be released in March 2011. The Royal Canadian Mint plans to issue 2 coins per year over the 2011 to 2013 period. All of these coins will portray different animals indigenous to Canada.
The obverse of the coin bears Queen Elizabeth II with a $5.00 CAN face value. The reverse has a beautifully designed Canadian Timber Wolf, with the moon and night time mountain side landscape behind this majestic Canadian predator. These coins are all in Brilliant Uncirculated! Orders of 25 or more come in the original yellow Royal Canadian Mint tubes and orders of 500 come in the original sealed Royal Canadian Mint boxes. There is a fairly limited mintage of these Timber Wolf coins which combine beauty and scarcity into one Troy Ounce of silver.