A poll recently released by Reuters shows gold and silver analysts slashing and burning their price forecasts for the next year.
“For the full year, spot gold is expected to average $1,410.75 an ounce, 13 percent below the average forecast of $1,627 at the time of the last Reuters poll in April,” a recent article outlined. “As gold prices have fallen, silver has also declined, dropping 36 percent so far this year. It is on track for its biggest annual decline since Reuters data was first compiled in 1982. It has also suffered from losses in other industrial metals as the global economic recovery struggles to gain traction.”
Commerzbank analyst Eugen Weinberg told Reuters, “The gold:silver ratio is now increasing to multi-year highs on the back of relatively weak demand for silver, on the one hand as an inflation and capital hedge and on the other hand as an industrial metal…It’s not seeing the best of two worlds, but the worst of two worlds.”
Weekly Precious Metal Prices
The biggest mover on the weekly Global Precious Metals MMI® was the price of Japanese gold bullion, which saw a 4.0 percent increase. This week marked the third in a row of rising prices for the metal.
Closing out the third week of rising prices, the price of Indian gold bullion increased by 1.9 percent. The price of Chinese gold bullion rose 1.5 percent this week, closing out the third week. The price of US gold bullion finished the week 0.9 percent higher.
The price of US silver fell 2.0 percent after rising 5.4 percent the week before. Following a 6.8 percent increase in the week prior, the price of Chinese silver fell 1.1 percent last week. The price of Japanese silver rose 0.6 percent. This was the third week in a row of increasing prices. The price of Indian silver declined 0.3 percent.
The price of Japanese platinum bar finished the week 3.4 percent higher. Closing out the third week of rising prices, the price of US platinum bar increased by 1.4 percent. The price of Chinese platinum bar rose 1.0 percent over the past week. This was the third week in a row of increasing prices.
The price of US palladium bar rose 3.6 percent this week. The price of Japanese palladium bar finished the week 3.6 percent higher. Closing out the third week of rising prices, the price of Chinese palladium bar increased by 3.1 percent.
The Global Precious Metals MMI® collects and weights 14 global precious metal price points to provide a unique view into precious metal price trends. For more information on the Global Precious Metals MMI®, how it’s calculated or how your company can use the index, please drop us a note at: info (at) agmetalminer (dot) com.