Gold Prices Hit New High; Touch $1300+, US Bullion Eagles Rally

by Bullion Prices Staff on September 25, 2010

Another set of fresh U.S. gold price records were set this week, maintaining last week’s momentum. Prices dipped only on Tuesday, and that was for the close and prior to the Federal Reserve’s statement released later in the day saying it was prepared to inject more cash into the economy. From that point, gold drove higher through to Friday. Silver followed, reaching fresh 30-year highs.

In New York bullion prices, gold futures for December delivery closed to $1,298.10 an ounce on Friday — another record, rising $1.80 or 0.1%. The yellow metal saw an intraday high of $1,301.60 an ounce. For the week, gold advanced $20.60 or 1.6%. It rose $31 or 2.5% last week.

"Gold hit the psychologically important $1,300, so you’re seeing some profit-taking after hitting that number," Matthew Zeman, a metal trader at LaSalle Futures Group in Chicago, said on Bloomberg. "Expect gold to work its way higher. There’s nobody in the dollar-bull camp. The Fed is cranking up the printing press again, and the dollar is going to suffer for it."

September silver closed at $21.399 an ounce for a daily gain of 18.6 cents or 0.9%. For the week, the metal was up 58.3 cents or 2.8%. Silver continues to outperform gold, which resulted in a lower gold to silver ratio of 60.7 on Friday. That compared to last week’s ending ratio when it took 61.4 ounces of silver to buy one ounce of gold.

In other metals, January platinum closed to $1645.40 for a gain of $4.80 or 0.3%. Platinum rose $23.50 or 1.4% for the week. December palladium finished at $560.50 an ounce, marking a Friday gain of $3.65 or 0.7%. It advanced $14.80 or 2.7% for the week.

In London bullion weekly prices, gold was fixed to $1,297.00 an ounce for a gain of $23.00 or 1.8%. Silver was $21.350 an ounce, which was 50 cents or 2.4% higher than last Friday.

"Silver is outpacing gold and has for the week and so far for the month," wrote Debbie Carlson of Kitco News. "Spurred by investment buying and an accommodating U.S. Federal Reserve, both metals rallied on their roles as alternative currencies" she added.

Carlson noted that "most market watchers believe" gold and silver have an "upward trajectory" in the long-term and that there could be "some retrenchment on profit-taking" in the short-term, but that the "markets are well-supported underneath current values."

In PGM metals, platinum rose $27.00 or 1.7% this week and was fixed Friday at $1,645.00 an ounce. Palladium was $562.00 an ounce for a weekly gain of $15.00 or 2.7%.

Weekly U.S. Gold and Silver Coin News

The following links provides information on recent United States Mint gold and silver coin news (bullion and numismatic):

  • Palladium Eagle Coin Proposed
    Placing the United States Mint one step closer to striking a new precious metal American Eagle, legislation was introduced Wednesday, September 22, 2020, calling for new palladium versions of the coin to be produced…

  • US Mint Silver Eagles Cross 24.6M
    Although United States Mint coin sales slumped in the prior report, the latest round of numbers showed a reversal. In fact, demand for numismatic products improved across nearly every product, minus only eight items. Silver and some gold bullion also gained. …

Weekly US Mint Bullion Coin Sales

High silver prices lifted the demand for United States Mint bullion American Silver Eagles, although the same could not be said for last week. US Mint authorized purchasers ordered 830,000 this week, thrashing the 70,000 level from last week. Silver Eagle sales had been strained this month until the last several days. The Mint has now sold 1.22 million in September. But remaining sales days would have to scream to match the 2.451 million sold in August.

Record gold prices also translated into improved demand for one-ounce gold bullion coins. Thee Gold Eagle added 23,000 versus 18,500 and the Gold Buffalo advanced 5,000 compared to 1,500.

The following table lists U.S. Mint published coin sales figures as of Friday, September 24, 2010:

September 2010 Bullion Coin Sales

American Buffalo Gold 1,500 5000 10,000 209,000
American Eagle Gold 1 oz 18,500 23,000 58,000 863,000
American Eagle Gold 1/2 oz 0 0 1,000 35,000
American Eagle Gold 1/4 oz 2,000 0 2,000 50,000
American Eagle Gold 1/10 oz 5,000 5,000 20,000 345,000
American Eagle Silver 70,000 830,000 1,220,000 24,820,500


Figures above are in coins, not ounces of gold sold.

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