Gold and silver logged sharp losses on Friday, for the week, and in October as both metals touched lows not seen since 2010. Conversely, demand for United States Mint gold and silver coins soared for the month. Gold coin sales were the best since January 2014 and silver coin sales the highest since January 2013.
Gold for December delivery fell $27, or 2.3%, to settle at$1,171.60 an ounce on the Comex division of the New York Mercantile Exchange.Prices reached as low as $1,160.50, the weakest point since July 2010 according to Bloomberg News.
Precious metals cratered, hit by a double-whammy of the rather hawkish Fed policy statement, coupled with a stronger-than-expected U.S. GDP report," Edward Meir, an analyst at INTL FCStone Inc., wrote in a note according to Bloomberg. "Gold is again confronting the specter of a stronger dollar, rising equity prices and tame inflation, a trifecta that does not bode well for price prospects going into 2015.
Gold lost 4.9% on the week, dropped 3.3% in October and is off on the year to date by 2.6%.
Results of the latest Kitco News gold survey are weighted much more bearish after two consecutive weeks of a slighter tilts downward. Fourteen survey takers expect the yellow metal to fall next week, 7 see prices rising and 1 sees prices trading sideways. Kitco News reports:
The end of the Federal Reserve’s asset-purchase program and gold’s break through the $1,180-an-ounce support level on Friday has the majority of participants in the Kitco News weekly Gold Survey seeing weaker prices next week… Those who see higher prices said given the sharp sell-off, gold might try to find some support for a slight rise next week.
Kitco gold survey results last week had splits of 9 down, 6 up, and 6 sideways or neutral.
Silver, Platinum and Palladium Futures
Silver for December delivery shed 31 cents, or 1.9%, to $16.11 an ounce. Prices earlier in the day touched $15.64, the lowest price since February 2010. The white metal plunged 6.3% from a week ago and gave up 5.6% in October. It is 16.9% lower on the year to date.
In PGM future prices on Friday and for the week:
In October, platinum fell 5% while palladium jumped 2.2%. For the year so far, platinum has dived 10.1% but palladium has surged 10.2%.
London Fix Precious Metals
Earlier fixed London precious metals were flat to lower on the day. When comparing London bullion Fix prices from Thursday PM to Friday PM:
For the week, palladium was also flat while other London metals precious registered losses of 5.6% for gold, 5.8% for silver, and 2.2 for platinum. In October, palladium gained 1.2% while other metals logged declines of 4.3% for gold, 5.3% for silver, and 5.6% for platinum.
US Mint Bullion Coin Sales in October
U.S. Mint bullion sales are yet to close officially for October, though they are not expected to change.
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