Gold & Silver Market 10-17-2015
Last week must have had quite a few precious metal investors celebrating. Once again we saw almost every price climbing over the period, and while the size of the gains varied it’s still nice to see so many of them heading in the right direction. Again metals managed to make progress despite the Dow Jones also gaining value, although performance in overseas equity markets was more mixed. It’s definitely a sign of confidence in the sector and hopefully points the way to a real recovery.
Beginning with gold, we saw some ups and downs but an overall upward trend. Most of the rise happened early in the week, with a high of over $1,180 reached on Wednesday. It slid on Thursday but seemed to have mostly settled by the time trading closed, with the final price $1,177.70. Compared to the previous week that’s $21.30 higher, which is a reasonable if not spectacular performance. The key thing here is that gold looks to be settling into a steady rise that could be pointing to a return of the long-running bull market. There’s certainly no reason for it to fall right now.
Silver also had another positive week, with a slight drop on Wednesday but a generally upwards trend dominating. Over the period the spot price climbed 21 cents to close at $16.03, and the week’s high was just above $16.20. That’s very encouraging, because while we expect fluctuations there’s now a willingness to buy at prices that seemed out of reach just a couple of months ago. It does look as if silver has regained a large part of the confidence that slipped away last year, and we think it has plenty more space to climb into.
It was also reassuring to see platinum gaining value after dropping sharply at the end of September, but this time it continued the previous week’s recovery apart from a brief slip on Tuesday; by Friday it was selling at $1,013, a gain of $32 over the period. That’s around a 3 percent increase, not a bad performance at all, and boosts hopes that its recent drop was an aberration. There’s no hint of a new supply that would overwhelm the existing demand, so right now it looks good.
If you were expecting the exception to be rhodium, it wasn’t; last week palladium was the one that lost some ground. It wasn’t much – the spot price closed $16 down at $694 – but still a disappointment. A short drop earlier in the week looked to have turned itself around and it seemed set to end up ahead, but trading just ran out of steam on Thursday and the price slipped again.
So that means rhodium, for once, managed to gain some value. In fact it gained quite a lot, finishing $30 up at $785. Does that change our minds about not buying into it? Not yet – we’d rather see at least one more week of progress first. It is the first hopeful sign in a while though.
So in general a good week, with the exception of palladium’s unexpected decline. The best bet is that’s a temporary adjustment though, and we have hopes of seeing all the metals manage to pick up some value this week.
About the Author: Clint Stelfox
Clint is the director of marketing at Golden Eagle Coins. Son of Richard Stelfox, co-founder of the company, Clint has been living and breathing coins his entire life. After trading for a Philadelphia Stock Exchange firm for several years Clint returned to give Golden Eagle the online presence it has today. 
