Precious Metals Prices Decline, Gold Breaks Streak of 4-Weekly Gains

by Bullion Prices Staff on May 22, 2010

Precious metals plummeted during the third week of May. Gold’s losses were the smallest as compared to other metals, but the decline broke a streak of four weekly gains. The yellow metal closed Friday marking four straight days of declines. There were a variety factors cited for driving prices lower. Investors selling to raise cash for other market losses was one of the most common reasons offered.

"Margin requirements continue to pressure prices lower," Suki Cooper, a Barclays Capital analyst in London, said in a note that was sited on Bloomberg. Still, long-term interest in gold "remains robust," she said.

In New York metals weekly prices, June gold ended at $1,176.10 an ounce for a decline of $51.70, or 4.2%. The loss was the biggest in nearly 15 months. Other metals fell harder. July silver closed at $17.651 an ounce, losing $1.574, or 8.2%. July platinum closed to $1,501.20 an ounce, tumbling $214.20, or 12.5%. June palladium ended at $439.95 an ounce, diving $87.95, or 16.7%.

The "price rout capped the biggest decline in twelve years in palladium and the most significant drop in platinum in over seventeen months," noted Jon Nadler, senior analyst with Kitco Metals Inc. "Lest we think this complex was the only one sliding sharply, consider crude oil which traded at lows not seen since last September."

In London bullion weekly prices, the gold fix was $1,179.75 an ounce for a decline of $56.75, or 4.6%.

"We traded up from $1,125 to the high at $1,248 not even in a month, so it is quite normal that you have a movement against that," Commerzbank trader Michael Kempinski was quoted on Reuters. "There is really too much investor money in there, and the funds are not all interested in the long term performance."

London silver was $17.720 an ounce, falling $1.920, or 9.8% to. Platinum was $1,492.00, down $229.00, or 13.3%. Palladium was $419.00, declining $117.00, or 21.8%.

To follow are silver, gold, platinum and palladium performance tables for the last several weeks.

London Fix Weekly Bullion Prices – May 2010

(May 14 – 21)

 
Up
Down
Week % Change
Week $ Change
Friday Close
Silver
 
X
-9.8%
-$1.92
$17.720
Gold
 
X
-4.6%
-$56.75
$1,179.75
Platinum
 
X
-13.3%
-$229.00
$1,492.00
Palladium
 
X
-21.8%
-$117.00
$419.00

 

(May 7 – 14)

 
Up
Down
Week % Change
Week $ Change
Friday Close
Silver
X
 
11.0%
$1.94
$19.640
Gold
X
 
2.8%
$34.25
$1,236.50
Platinum
X
 
4.2%
$70.00
$1,721.00
Palladium
X
 
6.1%
$31.00
$536.00

 

(April 30 – May 7)

 
Up
Down
Week % Change
Week $ Change
Friday Close
Silver
 
X
-4.9%
-$0.92
$17.700
Gold
X
 
2.0%
$23.00
$1,202.25
Platinum
 
X
-5.0%
-$87.00
$1,651.00
Palladium
 
X
-8.5%
-$47.00
$505.00

Weekly U.S. Gold and Silver Coin News

In related news, the following link provides a breakout of the latest United States Mint sales figures for bullion and numismatic coins:

  • U.S. Mint Bullion Eagle Coins Surge, Despite Plunging Gold and Silver Prices
    Precious metals had a disastrous week, yet U.S. Mint authorized buyers ordered more bullion American Eagle coins during the third week of May than in each of the prior weeks when metals were rallying.

    New York gold prices finished lower for the fourth consecutive session on Friday, with June futures tumbling to $1,176.10 an ounce, plummeting 4.2% this week.

    U.S. Mint one-ounce American Gold Eagles, however, soared. The coins advanced …

  • US Mint Coin Sales Jump, America the Beautiful Quarters Proof Sets Debut
    United States Mint coin sales slumped in the prior report. In fact, several products were actually adjusted downward. The latest round of numbers shows a reversal. Demand for US Mint collector coins improved across nearly every product.

    Plus, the opening sales figures for the newly issued 2010 America the Beautiful Quarters Proof Sets are available. More on this first…

    The 2010 quarters proof set launched on Thursday, May 13. From then until Sunday, May 16, the US Mint sold 75,558. It’s a good start for the sets considering that last year’s 2009 DC & US Territories Quarters Proof Set took nearly three more days to reach their …

 

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