Gold and silver changed direction again and traded up during most of the week. The week was short on account of Thanksgiving. The low volatility in the precious metals market was characterized during most of the week until Friday. The recent EU Summit and the EU group meetings didn’t result in big decisions regarding the EU budget or the Greek bailout. The conflict between the IMF and the EU ministers of finance impeded the progress of reaching a resolution. There were, however, some reports that these parities may have gotten closer to a resolution which could be concluded next week. Moreover, the recent positive news of the rise in the manufacturing PMI (flash report) in China may have also positively affected the prices of commodities. Several other reports were published during the week and may have had a moderate effect on the forex and commodities markets: the U.S jobless claims sharply declined by 41k to reach 410k; the U.S housing starts rose by 3.6%. These news items may have contributed to modest fall of precious metals at the middle of the week. Finally, the Euro rose last week: the Euro/USD traded sharply up by 1.8%; the Canadian and Aussie dollar also appreciated against the USD. This trend may have contributed to the rally of precious metals prices.
By the end of the week, gold increased by 2.14%; silver, by 5.39%.
Here is a short recap of the developments in precious metals rates between November 19th and November 23rd:
Precious Metals Recap:
Gold price shifted from its downward trend and traded up during the previous week by 2.14%; moreover, during said week, the average rate reached $1,733.4 /t. oz which is also 0.63% higher than the previous week’s average rate of $1,722.86 /t. oz. Gold ended the week at $1,751.4 /t. oz.
Silver, even more than gold, hiked during the previous week by 5.39%; further, the average rate also rose by 2.51% to reach $33.41/t oz compared to the previous week’s average $32.59/t oz.
During last week, the average daily percent change of gold reached 0.43%; silver had an average of 1.06%.
As seen below, the chart shows the changes of precious metals, as their rates normalized to 100 as of November 16th. Bullion prices have had a sharp upward during most of last week.
The second chart presents the daily percent shifts of bullion (or in other words the changes around the trend). Silver and gold increased during most of the week. During last week, bullion rates daily percent changes ranged between nearly 2.5% gain and a 0.8% loss.
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