Following the sharp gains to gold and silver on Monday, the trading slowed down yesterday as gold and silver nearly didn’t change. Today, the minutes of the recent FOMC meeting will be published, Jean Claude Trichet will give a speech, and Australia’s unemployment rate will be published as well.
Gold slightly declined on Tuesday by 0.59% to $1,661.0; silver on the other hand inclined by 0.06% to $32.00.
During the current month, gold inclined by 2.4%, and silver by 6.4%.
On Today’s Agenda:
FOMC Meeting Minutes: Following the last FOMC meeting, in which the Fed’s plan to purchase LT securities at $400 billion was announced, the minutes might bring some insight regarding this decision, and thus add some more information regarding the next steps of the FOMC in the near future that could affect the financial markets (see here FOMC decision);
ECB Conference Trichet Speaks;
Australia Rate of Unemployment: in the previous August report the unemployment rate slightly inclined to 5.3%, and number of employed people slightly fell by 9,700 during August. If this trend will continue it could further affect the Australian dollar and consequently perhaps even the bullion markets (see here the recent report);
USD/ Gold & Silver – October
The AUD/USD slipped on Tuesday by 0.35% to reach 0.9953; other currencies also followed and weakened against the USD including the CAD and YEN. If these currencies (AUD YEN and CAD) will continue to decline today it could further curb the progress of gold and silver.
For further reading: Gold and Silver Prices Monthly Outlook for October 2011
Lior Cohen, M.A. commodities analyst and blogger at Trading NRG.