Gold and silver spiked on Monday but by Friday both precious metals slipped. On a weekly scale, however, both gold and silver rallied even though they had a mixed trend during the week. In the U.S several reports showed positive progress while others didn’t: existing home sales slipped by 1.2% during June; jobless claims rose by 7k to reach 343k. On the other hand, U.S core durable goods spiked by 4.2% during last month; new home sales jumped by 8.3% in June. This mixed signal could have contributed to the mixed trend of gold and silver during most of the week. In China, manufacturing PMI fell to 47.7 in July, which means the manufacturing sector is slowing down faster. If China’s economy will continue to slow down it could lead to a decline in the country’s demand for gold and silver.
In the forex market, by the end of the week, the Euro rallied again by 1.03% against the USD; the Aussie dollar also rose by 0.95% against the USD and the yen appreciated by 2.42%. These developments in the forex market may have contributed to the recovery of gold and silver.
Here is a short review of the latest changes in precious metals prices between July 22nd and July 26th:
Precious Metals Review:
The price of gold rose again by 2.21% last week; furthermore, during last week, the average price reached $1,328.10 /t. oz which was 3.30% above last week’s average rate of $1,285.70 /t. oz. Gold ended the week at $1,321.50 /t. oz.
During last week silver price, much like gold price, rallied by 1.60%; moreover, the average weekly rate was $20.13/t oz, which was 2.72% above last week’s rate $19.60/t oz.
During last week, the average daily percent shifts of gold reached 0.451%; silver had an average daily change of 0.352%.
The chart below presents the changes in precious metals prices, in which they are normalized to 100 as of July 19th. Gold and silver prices rallied mostly at the beginning of the week only to slowly fall during the rest of the week.
The second chart presents the daily percent shifts of precious metals prices (or in other words the changes around the trend). Silver and gold spiked on Monday. Precious metals prices daily percent changes ranged between 5.4% gain and 1.9% decline.
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