It was another strong week as the global precious metals MMI® was led by price of Chinese gold bullion, which saw a 2.9 percent increase. This comes on the heels of a 1.1 percent decline the week prior. The price of US gold bullion rose 2.8 percent after falling 0.8 percent during the previous week. The price of Indian gold bullion rose 1.7 percent after falling 1.5 percent during the previous week. The price of Japanese gold bullion rose 1.1 percent over the past week. This was the third week in a row of increasing prices.
Tensions between Russia and Ukraine were responsible for citizens of Crimea taking their money out of local currencies and some investing it in gold and silver in the last week and even traders in the US took advantage of gold and silver as safe harbor investments against paper currency.
It was also reported this week that Chinese investors’ interest in both gold and silver futures hit new heights in 2013. On Monday, the Futures Industry Association released its annual report on global trends in the trading of futures and options; Gold futures on the Shanghai Futures Exchange saw the biggest increase volume in the last five years as 20.09 million contracts were traded in 2013, an increase of 416% from the 3.9 million contracts traded in 2008. Chinese silver futures purchases were not far behind, the contracts jumped to 173.22 million traded in 2013. The Chinese demand for silver and gold has stayed high this year.
The price of Chinese silver rose 2.2 percent after falling 2.7 percent during the previous week. The price of US silver rose 2.1 percent after falling 3.2 percent during the previous week. The price of Japanese silver fell 1.3 percent after rising 1.9 percent the week before. The price of Indian silver finished the week down 0.1 percent.
Following a 3.3 percent increase in the week prior, the price of Japanese platinum bar fell 1.5 percent last week. Closing out the third week of rising prices, the price of Chinese platinum bar increased by 0.6 percent. The price of US platinum bar fell 0.4 percent after rising 1.6 percent the week before.
Following a 7.0 percent increase in the week prior, the price of Japanese palladium bar fell 1.2 percent last week. The price of Chinese palladium bar finished the week 0.6 percent higher. The price of US palladium bar fell 0.5 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.