Precious metals prices declined again during the first part of the week only to trade up during the second part of the week. In Europe the conditions haven’t changed as the speculation around Grexit is still on. I have reviewed the potential ramifications on gold price if Greece will exit the EU. During last week the U.S housing market showed signs of recovery: the U.S new home sales and existing home sales increased during April. This news may have adversely affected bullion rates. On Thursday it was reported that the U.S Jobless claims didn’t change and core durable goods edged up in April. These items may have also slightly affected forex and commodities markets. By the end of the week major commodities including gold, silver and crude oil bounced back perhaps as a correction to the sharp fall in these commodities rates.
By the end of the week, gold edged down by 1.3% and silver slipped by 1.15%. Here is a short recap of the changes in Bullion between May 21st and May 25th:
Precious Metals Recap:
Gold price slipped during the first several days of the week but rose on Thursday and Friday. During last week it declined by 1.3%; alternatively, during said time the average rate reached $1,568.94 /t. oz which is 0.3% above the previous week’s average rate of $1,564.3 /t. oz. Gold finished at $1,571.2 /t. oz.
Silver, much like gold, decreased on a weekly scale by 1.15%; on the other hand, the average rate reached $28.11/t oz which is 0.14% above the previous week’s average $28.07/t oz.
During last week, the average daily percent change of gold decreased by 0.26%; silver declined by an average daily rate of 0.22%.
The chart below presents the developments of precious metals, as their rates were normalized to 100 to May 18th. Bullion prices have declined from Monday to Wednesday but bounced back on Thursday and Friday.
The second chart shows the daily percent changes of precious metals (or in other words the shifts around the trend). Bullion prices declined between Monday and Wednesday; their recovery came on Thursday. Their daily percent changes ranged between nearly 2.5% gain and 2.5% loss.