Both precious metals experienced selling pressure as the most recent reading on jobless claims was better than expected, which helps keep the Federal Reserve on pace to begin dialing down its bond purchases this month.
Americans filing applications for unemployment benefits fell by 9,000 to 323,000 in the final week of August. On average, economists expected jobless claims to total 330,000. The four-week moving average, which is less volatile, also declined by 3,000 to 328,500 claims. However, the number of jobless claims in the previous week was revised slightly higher to 332,000.
“We are seeing significant improvement in claims,” explains BNP economist Yelena Shulyatyeva to Bloomberg. However, she adds, “What we need to see is more progress on the hiring side.”Are you worried about the Debt Ceiling? Click here to get our Gold & Silver Premium Newsletter OVER 50% OFF now!
By the end of the trading day, shares of the SPDR Gold Trust (NYSEARCA:GLD) dropped 1.8 percent while the iShares Silver Trust (NYSEARCA:SLV) declined 1.4 percent. Gold miners (NYSEARCA:GDX) Barrick Gold (NYSE:ABX) and Yamana Gold (NYSE:AUY) fell 2.6 percent and 4.3 percent, respectively. Shares of First Majestic Silver (NYSE:AG) plunged 4.6 percent.
Follow Eric on Twitter @Mr_Eric_WSCS
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, PHYSRead the original article from Wall St. Cheat Sheet
Most Popular Slideshows
- KamaSutra Miss Maxim 2014 Grand Finale: Swapnila Gupta Wins Title; Models Walk the Ramp [PHOTOS]
- Paul Walker On Parkour, Stalkers, Sea Life, And Sharks [PHOTOS/ VIDEOS]
- Paul Walker Death: Antonio Holmes Eyewitness the Porsche Burst Into Flames [PHOTOS/ VIDEOS]
- A Tribute To Great Actor Paul Walker: Best Quotes From 'Fast And Furious' Films [PHOTOS/ VIDEOS]