Gold Recaptures $1,600 as Cyprus and Fed Chatter Take Center Stage
By Eric McWhinnie | March 28, 2013 6:36 AM EST
On Wednesday, gold (NYSEARCA:GLD) futures for June delivery, the most active contract, jumped $9.90 to close at $1,607.20 per ounce, while silver (NYSEARCA:SLV) futures for May edged 7 cents lower to finish at $28.61.
Gold recaptured $1,600 an ounce, despite the U.S. dollar index climbing higher. Cyprus appears to be on schedule to reopen banks for the first time in two weeks tomorrow, but capital controls will be in place. ATM withdraws are reportedly limited to only 300 euros, while people will be forbidden to take more than 3,000 euros in cash out of the insolvent country.
Meanwhile, Federal Reserve Bank of Minneapolis President Narayana Kocherlakota said the central bank’s monetary policy is currently “not accommodative enough.” He also reiterated the point that the unemployment rate threshold is not a trigger to end current policies.
In afternoon trading, the SPDR Gold Trust (NYSEARCA:GLD) gained 0.50 percent, while the iShares Silver Trust (NYSEARCA:SLV) gained about 0.15 percent. Gold miners (NYSEARCA:GDX) such as Barrick Gold (NYSE:ABX) and Yamana Gold (NYSE:AUY) both jumped more than 2.0 percent. First Majestic Silver (NYSE:AG) increased 1.5 percent.
Don’t Miss: Is the College Debt Bubble Finally Bursting?
If you would like to receive professional analysis on miners and other precious metal investments, we invite you to try our premium service free for 14 days.
Disclosure: Long EXK, AG, HL, PHYS
Join the Conversation
- Apple and Google Engage in Thermonuclear War, New Google Translate Chat App in the Works
- Russia's New Tactical Nuclear Weapons Program Growing Confident Against the US: Talks of World War III
- More Nexus 6 Problems Arise with Android 5.0 Lollipop, Poor Benchmark Results and Other Issues
- Update Samsung Galaxy S5 to Android 4.4.4 KitKat, Sprint Release and Installation
- HTC One M8 Android 5.0 Lollipop Release Delayed: Other Schedule and Installation Guide
- Israel''s Al Aqsa and East Jerusalem Issues Threatening Its Multi Billion Gas Deal With Jordan
- Australia Ranks 11th In World Ultra Wealth Report As 175 Aussies Amass $440B In 2013