Gold, platinum and palladium declined on Friday while silver rallied to a fresh, seven-month settlement high. All the metals notched exceptional weekly gains.
Slipping from a near four-month high, gold for February delivery shed $5.60, or 0.3%, to close at $1,809.60 an ounce on the Comex division of the New York Mercantile Exchange.
"With the U.S. jobs number coming in much stronger than expected… what we’re seeing is the concern that the Fed may need to go further with their expected interest rate hikes," Reuters quoted David Meger, director of metals trading at High Ridge Future.
"You’re going to see pressure on most asset classes today, not just the precious metals complex."
On Friday, the U.S. Labor Department reported employers added 263,000 jobs in November, exceeding economists’ expectations of around 200,000 jobs.
Gold prices advanced 3.2% this week after dipping 0.02% last week. They are 1% lower on the year to date. On Thursday, gold marked its best finish since Aug. 12.
In looking ahead to next week, Kitco News offers the following forecasts via their Wall Street & Main Street surveys:
"This week, 18 Wall Street analysts participated in the Kitco News Gold Survey. Among the participants, 12 analysts, or 67%, were bullish on gold in the near term and six analysts, or 33%, were bearish for next week. There were no neutral votes in this week’s survey.
Meanwhile, 1,018 votes were cast in an online Main Street poll. Of these, 715 respondents, or 70%, looked for gold to rise next week. Another 188, or 18%, said it would be lower, while 115 voters, or 11%, were neutral in the near term."
Elsewhere, silver for March delivery tacked on 40.9 cents, or 1.8%, to settle at $23.25 an ounce. The settlement was the best since April 27. Silver prices soared 8.5% this week after rising 2.1% last week. They are 0.4% lower on the year.
In PGM prices on Friday and for the week:
-
January platinum declined $28.30, or 2.7%, to end at $1,026.60 an ounce, but registered a 3.9% weekly increase.
- Palladium for March delivery dropped $45.20, or 2.3%, to end at $1,901.10 an ounce, trimming its weekly gain to 4.4%.
The two metals are divided on the year so far with platinum 6.3% higher and palladium 0.6% lower.
US Mint Bullion Sales in 2022
Published United States Mint bullion sales last changed on Nov. 21. 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) | |||||||
|---|---|---|---|---|---|---|---|
| Friday / This Week / Dec. | July | August | September | October | November / Last Week | 2022 Sales | |
| $50 American Eagle 1 Oz Gold Coin | 0 | 59,500 | 47,500 | 47,500 | 59,500 | 6,000 | 846,000 |
| $25 American Eagle 1/2 Oz Gold Coin | 0 | 5,000 | 2,000 | 0 | 2,000 | 0 | 75,000 |
| $10 American Eagle 1/4 Oz Gold Coin | 0 | 2,000 | 4,000 | 4,000 | 2,000 | 0 | 140,000 |
| $5 American Eagle 1/10 Oz Gold Coin | 0 | 20,000 | 20,000 | 15,000 | 15,000 | 0 | 575,000 |
| $50 American Buffalo 1 Oz Gold Coin | 0 | 39,500 | 22,500 | 44,500 | 39,500 | 4,500 | 410,000 |
| $1 American Eagle 1 Oz Silver Coin | 0 | 850,000 | 850,000 | 833,000 | 1,258,000 | 1,407,000 | 15,904,500 |
| $100 American Eagle 1 Oz Platinum Coin | 0 | 15,500 | 1,000 | 0 | 0 | 0 | 80,000 |
Holy Toledo! Silver is back above $23 an ounce. Seems like only yesterday it was down at $18 per ounce.
Rich,
It may even end the year higher than it was at the start of the year. Wonder if the Mint bought the ag when it was around $18 for next years coins? Doubt that so expect higher prices for the silver coins/medals in 2023.
Major D, there is a monumental discrepancy apparent here between what the Mint takes in as the profit on bullion sales as opposed to what it earns via its profit on numismatic sales. For every $100 in bullion sales the Mint earns a profit of $1.81, while for each $100 in numismatic sales the Mint realizes a profit of $18.40, which amounts to a figure that is ten times as much per equivalent sale. It’s not too difficult to figure out who has ended up carrying the Mint’s water in this setup and which entities this particular arrangement obviously benefits… Read more »
In regard to the clearly somewhat off base conclusion I had come to in my prior comment, it’s clear that I had forgotten about those two modes of acquisition you subsequently denoted. I also neglected to include the typically large number of numismatic Mint products the big dealers, buying clubs and other assorted major flippers make a practice of purchasing at retail by way of their compensated surrogate buyer operations. These, when added to their acquisitions via the bulk and allotted percentage programs, must certainly add up to be a goodly percentage of the Mint’s total numismatic sales and therefore… Read more »
Major D,
Yes, the Mint’s programs do not, overall, nor should they lose money (unlike most of the Government programs do). My point is if they bought at $18 instead of at $23 they would reap even more. After all, when was the last time they reduced prices on silver products? They certainly raise prices fast but not so much when prices perhaps should/could be lower. Taking what you say into account should they not stop making the one cent and five cent coins which are big money losers for them and for all of us?
Indeed, chuck, the Mint should ideally have bought silver at $18 an ounce and not waited until it was up to $23 again, but we’ll likely never know if they did. As for the Mint reducing silver product prices, I’ve never seen it, but then, it’s the only precious metal not on a pricing grid so perhaps they have no need or inclination to do so. Regarding the cent and the nickel, they could at least begin with eliminating the former immediately; the latter may take some more time and inflationary pressures to make it equally irrelevant.
Sir Kaiser, Here is the listing of the 1986-2022 original/initial US Mint prices for the American Eagle Silver Proof coins: 1986 = $21.00 1987 = $23.00 1988 = $23.00 1989 = $23.00 1990 = $23.00 1991 = $23.00 1992 = $23.00 1993 = $23.00 1994 = $23.00 1995 = $23.00 1996 = $23.00 1997 = $23.00 1998 = $24.00 1999 = $24.00 2000 = $24.00 2001 = $24.00 2002 = $24.00 2003 = $24.00 2004 = $27.95 2005 = $27.95 2006 = $27.95 2007 = $29.95 2008 = $31.95 2010 = $45.95 2011 = $59.95 (price increased to $68.45 on… Read more »
Major D, you certainly are correct in your comment. As you point out, the Mint’s established pricing of the ASE Proof coins over the past 36 years is the end result of all the critical parts of the story, such as: the average spot price of silver from 1986-2022, the rate of inflation and inflation adjustments, silver and silver planchet supply considerations, and silver/silver coin demand in the US over those years. The yearly final mintage figures can roughly give us an idea of the demand component of the picture. It would be interesting to analyze and compare the chart… Read more »
First of all, Good Sir Rich, allow me to express my gratitude for the obviously considerable time and effort it took you to create that list/chart; it provides a very useful illumination regarding the course of the Mint’s ASE pricing throughout that coin’s existence. Two things surprised me the most; that there were so many periods of a series of years when no price change was implemented, and that there actually were occasions where for two years in a row the price of ASEs was actually lowered.
For some reason, I thought the 1994 proof ASE was much more than that.
What’s remarkable about modern market forces, Major D, is how they don’t necessarily always follow the traditional model. In the “good old days” demand routinely drove supply while in our brave new world it is often a particular supply that creates demand. Essentially, there are now more than a few instances where whimsy has supplanted necessity as a motivating factor.
It appears, Major D, that I was woefully unclear regarding not only the thrust but even more egregiously so the subject of my comment. You are absolutely right on point with your reportage concerning the reality of American Silver Eagle sales and I am of course happy to be among the recipients of that useful illumination. Ironically, I myself was referring to the concept of supply and demand in “the world out there” rather than addressing the state of ASEs in particular or for that matter coins sales in general, but I sadly neglected to make that clear. It’s alright… Read more »
The fact that rather than needing ASEs people instead just want them is a very good explanation for why the prices of ASEs don’t vary according to their scarcity. If there is only a desire rather than an imperative need for a product there is nothing in play to drive up the prices as long as there are enough of the items to go around. No pressure, no premium pricing.
Indeed, Major D, this decision is entirely within the realm of Congressional deliberating and decision making, which is another way of saying it all depends on what the lobbyists want and how much election funding they are willing to ante up for it.
I believe the U.S. Mint sells per the current price, not the price they paid for the metal, silver, gold, platinum and palladium. The government’s business is business; or was that America’s business is business? It’s a business nontheless.
The original statement is usually quoted as having been “The business of America is business”, but to this day there is still a question as to how accurate that particular rendering of it actually is.
Good Sir Rich, tapping into my typical never being satisfied with halfway measures inclination/propensity, I am now of course anticipating silver breaking the $25 barrier.
That would be explosive!
What if he had instead been envisioned as the Golden Surfer?
Antonio. Maybe your mom would keep a proof set if it was gold or silver. Nah. Just the diamond. Sparkly over shiny. I think platinum is going to start creeping up and maybe overtake gold again. When silver was $50 not long ago, what were the ase going for? I see it steady went up then quick surge. But dropping from 50 to $13 I don’t see that exposed in the price list. Also. I think I have an error 10 dollar bill. The left or right side looks wrinkled, like it was in a paper jam, but on the… Read more »
I think mom preferred a visit, hug and kiss on the cheek. Saying, “I love you mom” doesn’t hurt either. I just think she wasn’t interested in coins. What in the world!
I just can’t wrap my head around that. How could anyone possibly prefer attention, affection and love to money? 😉
That’s why I pass on that one. Perhaps years from now it’ll make sense (no pun intended) but for now, not really.
Antonio and Major D,
So there we have the dollar math courtesy of Major D and the non-pun thanks to Antonio, and I agree completely; the rationale for this Set does not compute.