Gold prices inched 0.1% lower in light trading Monday, snapping a streak of session increases that had tallied to six by Friday when the yellow metal logged a 2.3% weekly gain.
Gold prices for August delivery shed $1.10 to $1,627.00 an ounce on the Comex in New York. Gold closed nearer the intraday high of $1,631.30 versus the low of $1,606.90.
With Greece elections in the rear view mirror, the market place is anxiously awaiting signs for another round of quantitative easing when the FOMC ends its two-day policy meeting on Wednesday.
"I think we still have to see whether Greece can form a government," Reuters quoted Ronald Leung, director of Lee Cheong Gold Dealers in Hong Kong. "Sentiment is a bit mixed. Everybody is taking profits for the time being. If (FOMC) launches the QE3, of course the market will be moving up."
On the subject of QE3, Jon Nadler, Senior Metals Analyst at Kitco Metals Inc., notes:
"The increasing amount of noise surrounding the imminent FOMC meeting appears to be uni-dimensional in tone: the Fed will give us something. That is what is expected. However, even the most optimistic of Fed-watchers have concluded that the most they can be ‘given’ by the Fed on Wednesday is a mere extension of Operation Twist for a short period after it expires in twelve days. Call it ‘one for the road’ courtesy of the Fed, even though $2.3 trillion has already been served at that bar.
"A sexy QE3, that OT ‘dance,’ is not. A dollar-sinking, unemployment and/or growth problem-solving, hyperinflation-inducing event it will also not be. Expectations are one thing; however, reality is quite another. Expectations are one thing; however, reality is quite another. "The risk is overwhelming to the downside in terms of commodity markets," says John Stephenson of First Asset Management Inc. over in Toronto. Mr. Stephenson feels that the official sector’s efforts to possibly boost the flagging global economy may be a case of too little, too late, and that commodity demand is already sagging.
In other New York futures closing prices on Monday:
Silver prices for July delivery lost 6.9 cents, or 0.2%, to $28.671 an ounce. The white metal ranged from $28.235 to $29.010.
Platinum prices for July delivery settled at $1,484.10 an ounce, dropping $3.10 or 0.2%. The PGM metal traded between $1,479.30 and $1,504.80.
- Palladium was the lone precious metal to rise. Palladium prices for September delivery edged up $2.75, or 0.4%, to $633.15 an ounce, ranging from $625.00 to $636.50.
Gains last week for the metals included 0.9% for silver, 4.4% for platinum and 3.0% for palladium.
London Precious Metals
London precious metals prices were lower across the board Monday. When comparing the latest London PM fixings:
- Gold declined $11.75, or 0.7%, to $1,615.50 an ounce,
- Silver fell 23.0 cents, or 0.8%, to $28.43 an ounce,
- Platinum lost $9.00, or 0.6%, to $1,484.00 an ounce, and
- Palladium dropped $4.00, or 0.6%, to $628.00 an ounce
Last week the metals logged gains of 3.2% for gold, 1.7% for silver, 5.4% for platinum and 3.1% for palladium.
Sales of U.S. Mint Bullion Coins
U.S. Mint bullion coin sales were unchanged Monday as of 4:28 PM ET. The following are the latest daily, June and year-to-date bullion coin sales totals as published by the U.S. Mint.
|Sales of US Mint American Eagle and Buffalo Bullion Coins|
|Daily Gains||June Gains||YTD 2012|
|$50 American Gold Eagle Coins||0||20,500||250,500|
|$25 American Gold Eagle Coins||0||1,000||55,000|
|$10 American Gold Eagle Coins||0||2,000||48,000|
|$5 American Gold Eagle Coins||0||5,000||155,000|
|$50 American Gold Buffalo Coins||0||4,500||69,500|
|American Silver Eagle Coins||0||1,361,500||15,895,500|
|Sales of America the Beautiful 5 Oz. Silver Bullion Coins|
|Daily Gains||June Gains||All-Time Total|
|2012 El Yunque National Forest 5 oz. Silver Bullion Coins||0||3,000||8,400|
|2011 Olympic National Park 5 oz. Silver Bullion Coins||0||0||85,200|
|2011 Vicksburg National Military Park 5 oz. Silver Bullion Coins||0||200||38,600|
|2011 Chickasaw Park 5 oz. Silver Bullion Coins||0||0||28,900|
Above sales of U.S. Mint bullion coins are in coin totals, not the amount of ounces sold.