Market Recap 12/23/10

APMEX will be closed for the Holidays from December 24-26, 2010. We will resume our normal business hours on December 27th.

This week can be summarized by saying that precious metal prices are relatively unchanged. Trading has been in tight ranges with low volumes. As expected, when large gains were made in Gold during the year, institutions and hedge funds sell to actualize profits and square up positions. We expect to see this same pattern continue throughout 2010. The big question is what will happen in 2011 and is there a buying opportunity now?

There were several significant news events this week. The IMF release a statement on Tuesday night saying they have completed a large program of Gold sales (reportedly 403.3 tonnes), thus removing one of the few bearish elements restraining the Gold bullion market.

North and South Korean tensions have made news several times this week. South Korea is planning military exercises that have North Korea warning of “sacred war” and South Korea vowing a “merciless counterattack.” Although these verbal threats seem to appear often, the potential for actual violence should not be dismissed.

Palladium prices have soared in the last quarter on increased industrial demand along with supply side concerns. There have been reports for some time now that Russian stock piles will run out in 2011. Norilsk, the world’s biggest producer of nickel, reinforced this supply concern on Wednesday. They see Russia having insignificant amounts of Palladium in 2011 and none in 2012.

Gold:
Spot Gold prices opened this week at $1,376.60. The high during the week was on Tuesday, December 21st, at $1,393.00, while the low for the week occurred on Thursday, December 23rd, at $1,372.60. Gold ended the week up $3.00 at $1,379.60. This week, the most popular Gold bullion products were 2010 1 oz. Gold American Eagles, 1 oz. Gold Maple Leafs and 1 gram Sunshine Minting Gold Bars.

Silver:
Spot Silver prices opened this week at $29.23. Silver reached a high of $29.61 on Tuesday, December 21st, while this week’s low for Silver occurred on Monday, December 20th, at $28.81. Silver ended the week up $0.07 at $29.30. The most popular Silver products on APMEX.com this week were 2010 Silver American Eagles, 1 oz. Silver Buffalo Rounds and 1 oz. APMEX Silver Rounds.

Platinum:
Spot Platinum prices opened this week at $1,698.30 and ended the week up $22.30 at $1,720.60. 1 oz. Pamp Suisse Platinum Bars, 1 oz. Platinum American Eagles and 1/2 oz. Platinum American Eagles continue their popularity with investors.

Palladium:
Spot Palladium prices opened this week at $740.60 and ended the week up $17.10 at $757.70. Palladium investors preferred 1 oz. Pamp Suisse Palladium Bars and Palladium Canadian Maple Leafs this week at APMEX.com.

Featured Bullion Product:
Each week, APMEX will review a different bullion product for the benefit of our readers. This week, we will review the 1922 – 1925 Peace Silver Dollars.

The Peace Silver Dollar is a manifestation of American sentiments in the 1920s. The world had just survived the biggest war in history and the United States wanted to commemorate this momentous victory. In order to share this celebration with all, the United States Mint produced the Peace Silver Dollar to be used in circulation by all Americans.

Due to legislation, the U.S. Mint was not required to produce a Silver dollar coin for public circulation. That all changed with the passage of the Pittman Act in 1918. Now the question became, what should our new coin represent? The answer was the “Roaring Twenties.” The Peace Dollar became a symbol of American wealth and prosperity in a time when many were affluent.

In our current economic times, we have once again discovered the value of a “dollar.” Get your own slice of American prosperity today with 1922 – 1925 Peace Silver Dollars available at APMEX.com.

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Market Recap 12/17/10

This week began on a high note, when Chinese authorities decided not to raise interest rates over the weekend. Gold rose past the “psychological” $1,400 barrier, but when the Federal Reserve decision came out that they would maintain their current level of bond buying, prices began to retreat.

Moody’s debt rating service added to the action this week. On Monday, they indicated they were looking at Spain for a possible reduction in credit rating. On Thursday, they put Greece on their radar screen. Then on Friday, Moody’s slashed Ireland’s credit rating by five notches. For those unfamiliar with such actions, this is a significant reduction.

Once Gold prices began to level off and bounce up to the $1,378 range, trading stabilized. Although we should not be surprised to see downward pressure on prices towards year’s end, as positions are rebalanced and paper profits get actualized, we would be cautious about considering this a trend. The same large funds selling to actualize paper profits might just be the first to jump back in January 3rd! This respite in pricing may be a great buying opportunity!

Gold tends to go up when bad things happen. If the European debt crisis begins to snowball, if any geopolitical fires flare, and if inflation ignites in the U.S., Gold prices are likely to increase significantly. Every investor should purchase Gold just like an insurance policy. You hope you never have to use it, but it is there if you need it.

Gold:
Spot Gold prices opened this week at $1,385.50. The high during the week was on Tuesday, December 14th, at $1,408.90, while the low for the week occurred on Thursday, December 16th, at $1,361.60. Gold ended the week down $8.90 at $1,376.60. This week, the most popular Gold bullion products were 2010 1 oz. Gold American Eagles, 2010 1/10 oz. Gold American Eagles, 1 oz. Gold Maple Leafs and 1 gram Sunshine Minting Gold Bars.

Silver:
Spot Silver prices opened this week at $28.70. Silver reached a high of $29.99 on Tuesday, December 14th, while this week’s low for Silver occurred on Thursday, December 16th, at $28.35. Silver ended the week up $0.53 at $29.23. The most popular Silver products on APMEX.com this week were 2010 Silver American Eagles, 1 oz. Silver Buffalo Rounds and 1 oz. APMEX Silver Rounds.

Platinum:
Spot Platinum prices opened this week at $1,684.00 and ended the week up $14.30 at $1,698.30. 1 oz. Pamp Suisse Platinum Bars, 1 oz. Platinum American Eagles and 1/2 oz. Platinum American Eagles were popular this week with investors.

Palladium:
Spot Palladium prices opened this week at $733.30 and ended the week up $7.30 at $740.60. 1 oz. Pamp Suisse Palladium Bars and Palladium Canadian Maple Leafs remain very popular.

Featured Bullion Product:
Each week, APMEX will review a different bullion product for the benefit of our readers. This week, we will review the 2005 1 oz. Silver American Eagle.

The United States Mint began minting the Silver American Eagle (SAE) in 1986. The 25 years of mintage have produced over 225 million silver bullion coins. Since 2000, demand for these coins has exploded. With the third-lowest mintage this decade, the 2005 1 oz. Silver American Eagle is a hidden gem at investment prices.

These 2005 coins trade at premiums consistent with common-date Silver American Eagles which makes their lower population a bonus of sorts. The 2005 1 oz. Silver American Eagle is a brilliant uncirculated coin that can be bought in bulk and used in Precious Metals IRAs while potentially adding numismatic value to your investment.

Silver American Eagle bullion coins belong in every precious metal investor’s portfolio.

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Market Recap 12/3/10

International uncertainty has led to an increase in the price of precious metals. The European Union is expected to pass a measure increasing regulation on position limits. Also driving up interest in metals is information claiming Japan has increased importation of Gold by 500 percent over 2009 figures.

The dollar is down 1% against foreign currency amid current discussions on tax cuts and unexpected increases in unemployment. On the home front, home sales have grown 10% since September, but a staggering 436,000 unemployment figure quelled much of the excitement.

Precious metals rose this week with some making significant gains. Gold is up over 3%, while Silver jumped an impressive 6.5%. With an eye towards the future, the Canadian Imperial Bank of Commerce (CIBC) has increased its Gold price forecast to $1,600.00 per Troy Ounce in 2011 and to $1,700.00 per Troy Ounce in 2012.  

Gold:
Spot Gold prices opened this week at $1,373.50. The high during the week was on Friday, December 3rd, at $1,409.90, while the low for the week occurred on Monday, November 29th, at $1,352.60. Gold ended the week up $42.50 at $1,416.00. This week, the most popular Gold bullion products were 2010 1 oz. Gold American Eagles, 1 oz. Gold Maple Leafs and 1 gram Sunshine Minting Gold Bars.

Silver:
Spot Silver prices opened this week at $27.53. Silver reached a high of $29.45 on Friday, December 3rd, while this week’s low for Silver occurred on Monday, November 29th, at $26.45. Silver ended the week up $1.90 at $29.43. The most popular Silver products on APMEX.com this week were 2010 Silver American Eagles, 1 oz. Silver Buffalo Rounds and 1 oz. APMEX Silver Rounds.

Platinum:
Spot Platinum prices opened this week at $1,661.50 and ended the week up $70.80 at $1,732.30. 1 oz. Pamp Suisse Platinum Bars, 1 oz. Platinum American Eagles and 1/2 oz. Platinum American Eagles continue their popularity with investors.

Palladium:
Spot Palladium prices opened this week at $701.00 and ended the week up $68.80 at $769.80. Palladium investors preferred 1 oz. Pamp Suisse Palladium Bars and Palladium Canadian Maple Leafs this week at APMEX.com.

Featured Bullion Product:
Each week, APMEX will review a different bullion product for the benefit of our readers. This week, we will review the 5 oz. America the Beautiful Silver Bullion Coins.

Following the popularity of the Statehood Quarters, the U.S. Mint chose national parks from across the nation to adorn the reverse of the new America the Beautiful Quarters. In correlation with these quarters, the U.S. Mint has produced matching 5 oz. Silver coins. The first five coins in this series are to be released through authorized vendors on December 6, 2010.

The release of these coins has been highly anticipated and was pushed back several times from the U.S. Mint. These delays have driven the popularity of this series through the roof before the designs, mintages, or release dates were revealed. We now know the designs will mirror the quarters and the mintage rates are maxed out at 33,000 units per design.

The five designs to be released next week are Hot Springs (Arkansas), Yellowstone (Wyoming), Yosemite (California), Grand Canyon (Arizona), and Mount Hood (Oregon).

 

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Market Recap 11/12/10

The Dow Jones Industrial Average ended the day down more than 90 points, as the market reacted to the threat of rising interest rates in China. Investors locked-in their profits and all the major indexes fell accordingly. The Canadian market faced a similar downward situation, also due to China fears.

US Consumers gained confidence in the economy for the first time in three months. The Reuters/University of Michigan survey of consumer sentiment rose to 69.3, still lower than the 5-year average of 88.9, which ended in December of 2007, when this current recessionary period began. Retailers hope that this consumer sentiment holds as we head into the holiday buying season.

Precious metal prices had a roller-coaster of a week! Gold started this week at the $1,394.00 level, peaked at an all-time high on Tuesday of $1,424.60, and then ended the week just under $1,370.00. Silver shared a similar fate also peaking at a 30-year high on Tuesday of $29.35 per Troy Ounce. Obviously, some short-term investors locked-in some of their profits. Many long-term investors see the current weakness only as a strong buying opportunity.    

Gold:
Spot gold prices opened this week at $1,394.90. The high during the week was on Tuesday, November 9th, at $1,424.60, while the low for the week occurred on Friday, November 12th, at $1,359.30. Gold ended the week down $25.10 at $1,369.80. This week, the most popular gold bullion products were 2010 1 oz. Gold American Eagles, 2010 1/10 oz. Gold American Eagles, 1 oz. Gold Maple Leafs and 1 gram Sunshine Minting Gold Bars.

Silver:
Spot silver prices opened this week at $26.79. Silver reached a high of $29.35 on Tuesday, November 9th, while this week’s low for silver occurred on Friday, November 12th, at $25.76. Silver ended the week down $0.72 at $26.07. 2010 Silver American Eagles, 1 oz. Silver Buffalo Rounds and 1 oz. APMEX Silver Rounds remain popular silver investments.

Platinum:
Spot platinum prices opened this week at $1,768.60 and ended the week down $84.60 at $1,684.00. Popular platinum products online this week were, 1 oz. Pamp Suisse Platinum Bars, 1 oz. Platinum American Eagles and 1/2 oz. Platinum American Eagles.

Palladium:
Spot palladium prices opened this week at $688.90 and ended the week down $7.90 at $681.00. 1 oz. Pamp Suisse Palladium Bars and Palladium Canadian Maple Leafs remain very popular, but in short supply.

Featured Bullion Product:
Each week, APMEX will review a different bullion product for the benefit of our readers. This week, we will review the section on Austrian Silver Philharmonic coins.

The Silver Philharmonic, Europe’s leading bullion coin, was created by the Austrian Mint. The Silver Austrian Philharmonic in the same design as the classic gold bullion coin. The obverse depicts the great organ in the Golden Hall in Vienna’s concert hall of the Vienna Philharmonic Orchestra. A grouping of musical instruments representing the Vienna Philharmonic Orchestra, can be seen on the reverse of the coin.

The face value of the coin is in Euros, and the weight, alloy purity and year of issue are also inscribed on this side of the coin.  These beautiful silver coins were first minted in 2008, from .999 fine silver.

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Market Recap 11/5/10

The Dow Jones Industrial Average ended the day up just over 9 points, as the market failed to continue its strong momentum this week. Friday’s activity was not reflective of the impressive showing throughout the week based on the Federal Reserve Bank’s plan to boost the economy with $600 billion worth of Government Bond purchases.  But even a stronger than expected jobs report, adding 151,000 jobs in October, couldn’t rally the Market higher on Friday.

The Federal Reserve’s plan to purchase Government Bonds drove the 30-year bond higher but also drove the two-year and five-year notes to record lows. The Federal Open Market Committee said that the Fed will expand purchases at the rate of about $75 Billion a month through June 2011.

Precious metal prices continued to climb higher and higher again this week. Gold and Silver both neared important milestones. Gold hit an historic high of $1,398.90 on Friday, while Silver reached a 30-year high of $26.94. Gold had hit 17 new highs over the last five weeks based, at first, on speculation about the Fed’s actions and then on the actual announcement. What will be the newest predictions on the prices of these precious metals now, given their new highs? 

Gold:
Spot Gold prices opened this week at $1,351.10. The high during the week was on Friday, November  5th, at $1,398.90, while the low for the week occurred on Wednesday, November 3rd, at $1,327.10. Gold ended the week up $43.80 at $1,394.90. This week, the most popular Gold bullion products were 2010 1 oz. Gold American Eagles, 1 oz. Gold Maple Leafs and 1 oz APMEX Gold Bars.

Silver:
Spot Silver prices opened this week at $24.61. Silver reached a high of $26.94 on Friday, November 5th, while this week’s low for Silver occurred on Wednesday, November 3rd, at $23.94. Silver ended the week up $2.18 at $26.79. The most popular Silver products on APMEX.com this week were 2010 Silver American Eagles, 1 oz. Silver Buffalo Rounds and 1 oz. APMEX Silver Rounds.

Platinum:
Spot Platinum prices opened this week at $1,711.30 and ended the week up $57.30 at $1,768.60. 1 oz. Pamp Suisse Platinum Bars, 1 oz. Platinum American Eagles and 1/2 oz. Platinum American Eagles were popular purchases this week.

Palladium:
Spot Palladium prices opened this week at $649.00 and ended the week up $39.90 at $688.90. 1 oz. Pamp Suisse Palladium Bars and Palladium Canadian Maple Leafs continue to keep the interest of 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 section on Pamp Suisse Gold Products.

PAMP is a French acronym for “Artistic Precious Metal Products.” PAMP is one of the world’s leading independent refiners of precious metal products. In 1977, PAMP established its refinery in the Castel Saint Pietro in Switzerland. Their die-struck bars are made to exacting standards and have been considered “Good Delivery” bars by the London Bullion Market Association since 1987. All of PAMP’s bars are struck in .9999 quality and fineness.

The PAMP Gold bars are often struck with the very attractive likeness of the ancient Roman goddess “Fortuna,” who was believed to rule good luck. The bars are often available in sizes ranging from a tiny 1 Gram up to a large 10 Troy Ounces.