Gold and silver prices rebounded on Thursday, recovering a portion of their previous day losses. Bargain-hunting and safe-haven buying as an alternative to world currencies were cited factors for gains.
New York gold futures prices for February delivery rose $9.60, or 0.7%, to close at $1,392.80 an ounce. Gold prices hit an intraday low of $1,381.10 and reached a high of $1,395.60. The metal is up 27.1% of the year.
"The bottom line is that investors are losing faith in paper money," Lannie Cohen, the president of Capitol Commodity Services Inc. in Indianapolis, said and was quoted on Bloomberg. "Gold will continue to act as the currency of choice."
Silver futures prices for March delivery soared 56.5 cents, or 2%, to end at $28.817 an ounce. It performed the best in precious metals on Thursday. Silver prices are 71.1% higher in 2010.
In PGM futures prices, March palladium closed to $741.60 an ounce for a pick-up of $12.65, or 1.7%, and January platinum ended at $1,678.90 an ounce for a loss of $2.50, or 0.1%. Palladium is up 81.4% this year while platinum has risen 14.1% in 2010.
In the biggest U.S. Mint bullion news of the week, America the Beautiful Silver Bullion Coins Re-Launch on Friday. The release of the bullion coins was delayed Monday after the U.S. Mint heard consumer complaints of price gouging. The Mint has since implemented several terms and conditions for its resellers to "ensure the widest possible availability, accessibility and affordability" of the silver bullion coins.
Available U.S. Mint bullion coins in December seem to be mostly moving every other day, instead of daily as happened through the last few weeks in November. Sales figures were unchanged Thursday. The 1 oz bullion Gold Eagle and Silver Eagle did rise on Wednesday with respective increases of 4,000 and 275,000.
|December 2010 US Mint Bullion Coin Sales|
|December 2010||Daily Gain||2010 Totals|
|American Buffalo Gold||Sold Out||209,000|
|1 oz American Gold Eagle||8,500||0||1,093,000|
|1/2 oz American Gold Eagle||0||0||45,000|
|1/4 oz American Gold Eagle||0||0||60,000|
|1/10 oz American Gold Eagle||0||0||385,000|
|American Silver Eagle||692,000||0||33,582,500|
Figures above are in coins, not ounces of gold sold.
In earlier bullion prices, the London PM gold fixing price was $1,391.25 an ounce for a pick-up of $5.75, or 0.4%, from the previous day’s $1,385.50. Silver was fixed at $28.41 an ounce for a loss of 61 cents, or 2.1%. In PGM metals, palladium was $746 for a gain of $17, or 2.3%, and platinum was $1,691 an ounce for an increase of $8, or 0.5%.