Gold Retreats from 1-Week High; Silver Notches Fourth Gain

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Gold declined from a more than one-week high on Thursday while silver, platinum and palladium extended their gains.

Gold for December delivery fell $7.60, or 0.4%, to settle at $1,720.20 an ounce on the Comex division of the New York Mercantile Exchange.

Gold was "pressured by comments from Federal Reserve Chairman Jerome Powell that again leaned hawkish on U.S. monetary policy. Powell’s comments boosted the U.S. dollar index and U.S. Treasury yields, both of which had been weaker ahead of his speech. The yellow metal had seen higher prices overnight, but lost those gains to trade near steady when upbeat U.S. jobless claims data were released, and then sold off when Powell made his remarks," Jim Wyckoff, a senior analyst at Kitco Inc, said in a daily research note.

Gold futures traded between $1,713.70 and $1,739.40. They rose 0.9% on Wednesday, for their highest close since Aug. 30, and they shed 0.6% in their start to the trading week on Tuesday.

Up for a fourth straight session, silver for December delivery rose 18.2 cents, or 1%, to finish at $18.442 an ounce. The settlement was the highest since Aug. 29. Silver futures ranged from $18.24 to $18.67. They gained 2% on Wednesday and they edged 0.2% higher on Tuesday.

In other precious metals futures prices on Thursday:

  • Also rising for a fourth session in a row, October platinum tacked on $19.20, or 2.3%, to $866.40 an ounce, ranging from $847.20 to $874.10. The close was the strongest since Aug. 29.

  • Up for a second day, palladium for December delivery soared $124.20, or 6.1%, to $2,147 an ounce, trading between $2,010.50 and $2,180.

US Mint Bullion Sales in 2022

On Thursday, published United States Mint bullion sales increased by 425,000 ounces in American Silver Eagles and a combined 21,500 ounces in American Gold Eagles.

Below is a sales breakdown of U.S. Mint bullion products with columns listing the number of coins sold during varying periods.

US Mint Bullion Sales (# of coins)
Thursday May June July August* September 2022 Sales
$50 American Eagle 1 Oz Gold Coin 20,000 164,500 31,000 59,500 47,500 20,000 753,000
$25 American Eagle 1/2 Oz Gold Coin 0 7,000 6,000 5,000 2,000 0 73,000
$10 American Eagle 1/4 Oz Gold Coin 4,000 8,000 18,000 2,000 4,000 4,000 138,000
$5 American Eagle 1/10 Oz Gold Coin 5,000 50,000 135,000 20,000 20,000 5,000 550,000
$50 American Buffalo 1 Oz Gold Coin 0 56,000 21,500 39,500 22,500 11,500 333,000
$1 American Eagle 1 Oz Silver Coin 425,000 1,350,000 925,000 850,000 850,000 425,000 12,831,500
$100 American Eagle 1 Oz Platinum Coin 0 0 23,500 15,500 1,000 0 80,000

*Also on Thursday, the U.S. Mint adjusted August sales with American Gold Eagle increases for the:

  • 1-oz to 47,500 coins from 43,500 coins,
  • 1/2-oz to 2,000 coins from 1,000 coins,
  • 1/4-oz to 4,000 coins from 2,000 coins, and
  • 1/10-oz to 20,000 coins from 15,000 coins.

On Tuesday, the Mint adjusted the August total for the American Gold Buffalo, lifting its sales to 22,500 coins from 17,500 coins.

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Antonio

And silver is back above $18.

Rich

And by closing at $18.44 today it rose 18 cents from yesterday’s close at $18.26.

Last edited 21 days ago by Rich
chuck

Antonio & Rich,
Time will tell us but a good sign, maybe, is spot is above what the Dec future price is. Might depend on what “is” “is” though.

Rich

Good point Chuck, yesterday 24-hr spot silver closed 19 cents above the December future closing price and today spot silver closed 11 cents above the silver futures price.

Kaiser Wilhelm

Good Sir Rich, Chuck and Antonio,

I’m still perplexed how it’s possible that with the inflation rate so high and the stock market weakening steadily silver could drop $7 per ounce in value.

Kaiser Wilhelm

I neglected to factor in the (to me) inexplicable rise of the dollar.

Last edited 20 days ago by Kaiser Wilhelm
Rich

Sir Kaiser, the anomalous behavior of silver (and gold) in the face of extreme rising inflation (a 40 year high) is mostly due to the strong rising dollar (a 20 year high) and the huge speculative silver futures selling on the Comex. The dollar’s strength is a result of the very weak Euro, British Pound and Japanese Yen. The current Comex silver futures positioning and the dollar’s strength will eventually reverse. For silver, the opposite of what happened in 2010-2011 has occurred this year. In August 2010, silver was $18 an ounce, by the beginning of April 2011 (roughly 8… Read more »

Kaiser Wilhelm

Good Sir Rich, It appears that, just as you foresaw, the upending of the more traditional inflation versus precious metals inverse relationship model should imminently be coming to a close as a result of the currently evidenced beginning of the dollar’s retreat from its peak strength. As inflation still continues to grow, silver and its precious metal cousins should begin to regain a more prominent market position. I suppose it is only fitting that as our groceries become ever more costly our coin collections concurrently increase in value. Whether this is a consolation prize or a perfectly normal balancing of… Read more »

Last edited 15 days ago by Kaiser Wilhelm
Rich

Speaking of tribute coins, the Perth Mint struck Niue 2020 Queen Elizabeth II – Long May She Reign 1 ounce Silver Proof $1 Coin should see a surge in interest and demand.

2020-s1d-long-may-she-reign-raw-obv.jpg
Kaiser Wilhelm

Niue is to coins now what San Marino was to stamps in the 20th century.

Kaiser Wilhelm

The final year of coins with the Queen’s image on them should now be a hot item.

Kaiser Wilhelm

I think, Major D, that any coin with the Queen’s image and dated 2022 from one’s own or the closest British Commonwealth country would do just fine.

Kaiser Wilhelm

The Mint could grant the late Queen “Honorary U.S. Citizen” status and give her a place on an American Women Quarter. A hot item, maybe?

Kaiser Wilhelm

I’m sorry, Major D, I realize now that I didn’t give even the slightest indication I was just joking in that regard; my bad.

I do, however, genuinely like your idea for a combo USA-British multi-coin tribute set; that’s a truly excellent suggestion!

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Jeff Legan

As should the first one with the new King.

Kaiser Wilhelm

Exactly, Jeff, and it’s not difficult to envision what a historic collection a pairing of Queen Elizabeth’s last year with King Charles’ first year would be.

Last edited 19 days ago by Kaiser Wilhelm