Source: ForexYard
Prices of both gold and silver steeply declined during yesterday’s trading and therefore cancelling out the gains made in the beginning of the week.The price of the yellow metal fell on Wednesday by 1.61% to $1,660 while silver also showed a decline of 2.41% to $31.83. Overall during the month of March Gold has dropped by 2.97% whilst silver dropped by 8.11%.
The U.S core durable report was published yesterday and the results were positive, even though the figures fell short of the projections.The report not only affected metals, but other instruments too,including US Stock market indexes as well as other commodities.
Meanwhile, the European finance ministers will be meeting today, and there is a possibility that they will agree to raise the rescue funds to 1 trillion Euros in order to keep the debt-crisis at bay and ease market concerns.If this outcome will take place, the Euro could be boosted as well as having a positive affect on both gold and silver prices.
Besides the finance ministers meeting today,there are a few additional economic events taking place today. This includes the U.S Jobless Weekly Update,Final U.S GDP 4Q 2011 Estimate and Fed Chairman Ben Bernanke is due to say a few words.
Over the past few trading days we have seen both metals change direction rather sharply whilst moving in no clear direction. Certain reports and figures have disrupted gold and silver’s gains made early in the week and the recent protests in India which have moved into their second week,are also partly responisbile for the decline in gold prices.
Today the EU Summit will take place and its possible that the outcome of the meeting will have a strong affect on the Euro and as a result, could affect the direction of the two metals.The U.S jobless weekly update is another report which has the potential to impact the commodities market due to its possible affect it will have on the US dollar.
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