Gold Rises Slightly as U.S. Inflation Marks Near 13-Year High

12

All but platinum advanced in precious metals trading Thursday. Gains in gold and silver were their fourth in five sessions while palladium’s increase was its first in four sessions.

Gold for August delivery climbed 90 cents, or 0.05%, to settle at $1,896.40 an ounce on the Comex division of the New York Mercantile Exchange.

"The key takeaway (from the inflation data) is that this market is firmly believing that the U.S. Federal Reserve is not going to change stance anytime soon and the (accommodative policy) playbook for gold remains," Reuters quoted Edward Moya, senior market analyst at OANDA.

U.S. consumer prices increased 0.6% in May, the government reported Thursday, with 12-month inflation jumping 5% for the biggest gain since August 2008.

Gold futures ranged from a low of $1,871.80 to a high of $1,897.90. They edged up 0.06% on Wednesday, they dipped 0.2% on Tuesday, and they tacked on 0.4% on Monday. Just a week ago Wednesday, June 2, gold at $1,909.90 an ounce marked its highest settlement since Jan. 7.

Silver for July delivery advanced 2.9 cents, or 0.1%, to close at $28.031 an ounce. Silver futures traded between $27.47 and $28.10. They gained 1% on Wednesday, they fell 1% on Tuesday, and they rose 0.4% on Monday.

In other precious metals futures prices Thursday:

  • July platinum lost $5.80, or 0.5%, to $1,146 an ounce, ranging from $1,127 to $1,152.50.

  • Palladium for September delivery added $4.90, or 0.2%, to $2,777.70 an ounce, trading between $2,736 and $2,786.

US Mint Bullion Sales in 2021

United States Mint published bullion sales were unchanged Thursday. Below is a sales breakdown of U.S. Mint bullion products with columns listing the number of coins sold during varying periods. Products with an asterisk (*) are no longer available.

US Mint Bullion Sales (# of coins)
Thursday Last Week March Sales April Sales May This Week / June 2021 Sales
$50 American Eagle 1 Oz Gold Coin 0 0 55,500 38,500 20,500 4,000 430,500
$25 American Eagle 1/2 Oz Gold Coin 0 0 0 0 0 0 31,000
$10 American Eagle 1/4 Oz Gold Coin 0 0 20,000 0 0 0 56,000
$5 American Eagle 1/10 Oz Gold Coin 0 0 55,000 0 0 0 150,000
$50 American Buffalo 1 Oz Gold Coin 0 0 33,500 11,000 44,000 1,000 167,000
$1 American Eagle 1 Oz Silver Coin 0 0 4,087,000 1,053,000 0 0 13,106,500
$100 American Eagle 1 Oz Platinum Coin 0 0 35,000 0 40,000 0 75,000
Tuskegee Airmen 5 oz Silver Coin 0 0 N/A 50,000 2,900 0 52,900
Subscribe
Notify of
guest
12 Comments
Inline Feedbacks
View all comments
Seth Riesling

Inflation in the USA is at a near 13-year high as reported today & yet gold futures only went up 90-cents an ounce??!! Strange…

NumisdudeTX

Kaiser Wilhelm

The inflation rate is at a decade-plus high while the value of the dollar has of late decreased somewhat. These are ordinarily both ingredients for at least a moderate if not even an appreciable rise in the price of gold, Seth, but as you already pointed out there hasn’t as yet been any noticeable movement to speak of in that direction. I wonder what is different this time under these familiar circumstances, which is to say exactly what sort of mechanism is in play here. It makes me wonder if this might be more evidence of covert Federal Reserve measures… Read more »

Last edited 3 months ago by Kaiser Wilhelm
Seth Riesling

The Fed is doing something – just not sure what is up their sleeve…

NumisdudeTX

Kaiser Wilhelm

It’s my understanding that the Fed sees keeping the cost of paying off the interest on the National Debt as low as possible as one of its primary functions. While I can’t claim to fully comprehend how this favored result is so directly related to and/or intertwined with the price of gold, apparently there is something about a lower gold price that results in the maintaining of a lower rate charged to the interest payments on the national debt.

Last edited 3 months ago by Kaiser Wilhelm
Kaiser Wilhelm

I suppose if gold keeps rising in value the understandably inevitable corollary and opposite effect will be that the dollar continues to drop in unison, and that seems to be a scenario that neither the U.S. Government nor the Federal Reserve can find itself able to tolerate, hence the reason for the ongoing apparently surreptitious precious metal price suppression. That being said, I’m not sure that such a strategy is one that can be relied on to be effective forever. One might think that sooner or later the stark reality of the true, i.e. much higher price for gold and… Read more »

us-dollar-vs-gold-2000-2020.jpg
Last edited 3 months ago by Kaiser Wilhelm
Mark D.

I don’t think it’s covert, per se. It’s in the public square for all to see, but it’s written in financial cuneiform, i.e., Basel 3.

And it’s not just the Fed, it’s ALL the big banks, sovereign, commercial and otherwise.

Numismatic News has featured several articles on Basel 3 recently, of which I feel lucky to understand 20%. But even with that limited understanding I sense a disturbance in the Force.

“These are not the bitcoins you’re looking for…”

Look, my namesake currency!

400px-100-Billionen-Geldschein.jpg
Kaiser Wilhelm

It may be laid out for all to see, Mark, but people are either squeezing their eyes shut or not processing what’s hitting their so-called(?) cognitive faculties. I tend to believe there is a sort of “faith in the process” blindness that applies in a situation like this, which is to say that if you can’t allow or bring yourself to believe it then it can’t possibly be the truth. This in fact strikes me as intensely peculiar considering so many millions of our fellow citizens on the other hand seem to have not even the slightest of problems when… Read more »

Last edited 3 months ago by Kaiser Wilhelm
Kaiser Wilhelm

And here, for your edification, is the Zimbabwe version itself…

il_1140xN.3139539035_4mtr.jpg
Mark D.

Two things:

A.
Cogent, well-versed and thought-provoking commentary.

Next:
I never knew Kool-Aid came in that flavor, but I’m not surprised

3.
That stack of boulders (or, whatever) on Zimbabwe currency always reminds of the molten boulder creature on Star Trek (Yarnek, The Savage Curtain), as well as the boulder, boss muppet on early SNL episodes.

Fifth:
Have ever seen a photo of one of those legendary German homes with currency used for wallpaper?

Also:
Do you know of any actual surviving examples, or recreations of a money room?

Kaiser Wilhelm

A. Danke schoen for the exceedingly kind opinion; much appreciated. Next: Most certainly, and More Sh*t, Deeper Sh*t, and Full ‘O Sh*t flavors are also now available from Maralago Outhouse Beverages at Caliguland. 3. Said totem appears all too frequently in connection with and on the bottle labels of a close relation of the aforementioned Sh*t flavored Kewl-Ade, to wit, New Age Crappjooce, at this juncture available solely in the mysteriously popular all-natural carbon-and-gluten-free Totall Crapp iteration. Fifth & Also: I was fortunate to see one of those hard-to-believe money houses up close and personal. Bear in mind I arrived… Read more »

1d92f6_3a9528dc7f046489621e26ea37486ac1.jpg
Last edited 3 months ago by Kaiser Wilhelm
Kaiser Wilhelm

From the above chart, we see that this means a single ounce of gold was going for 87 of those 100 Trillion Mark bills by the end of 1923.
1 U.S. Dollar was worth just a smidge over 420 Trillion Reichsmark.

Notes for the curious for converting American to German units:
1 Million = 1 Million
1 Billion = 1 Milliarde
1 Trillion = 1 Billion
1 Quadrillian = 1 Billiarde

a.png
Last edited 3 months ago by Kaiser Wilhelm
Kaiser Wilhelm

Speaking of inflation (and I guess we were), has anybody noticed that prices seem to suddenly be skyrocketing left and right and everywhere you go. What’s up with that?

inflation-is-coming-f853d01198.jpg