Dealing Desk Update: Silver shines in a busy week’s buying

Jun 5, 2014·Roland Khounlivong

GoldMoney customers returned to the precious metals market with renewed energy this week with silver the benefactor as GoldMoney trading volumes jumped 46% on last week – higher than usual for this time of year.

Head of Dealing and Settlements at British based GoldMoney, Roland Khounlivong said: 'Silver has definitely been the winner this week as our customers took note of the gold/silver price ratio sitting at its highest levels since last June. Conversely gold's shine was definitely tarnished and it suffered from profit taking.

'Today's European Central Bank cut to its refinancing rate, an historic low, has highlighted the sluggish growth in the Eurozone countries, and could herald the start of further quantitative easing measures from the ECB. The move has therefore provided some support for the gold price today.
'This could be counter-acted by US data out tomorrow which will give further indication as to the US Employment Situation; and next week the Chinese Consumer Price Index and Industrial Production data.

'This week saw a big resumption of the flow of physical metals from the west to the east with our Singapore Malca-Amit vault receiving a big inflow of silver.

'We also saw some interest in platinum and palladium from our customers, partly from the expected increase in demand from the autocatalyst industry, and also for platinum, the ongoing strike in South Africa, which still shows no sign of settlement, is putting pressure on supplies. The ongoing situation in the Ukraine remains a geopolitical risk for palladium.'

16:00 05/06/14: Week on week performance: Gold fell 0.2% to $1,253.80; Silver added just 0.1% at $19.01; Platinum dropped 1.6% to $1,432.25 while Palladium gained 0.5% to $836.05.


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GoldMoney is one of the world's leading providers of physical gold, silver, platinum and palladium for retail and corporate customers. Customers can trade and store precious metal online easily and securely, 24 hours a day.

GoldMoney has offices in London, Jersey and Hong Kong. It offers its customers storage facilities in Canada, Hong Kong, Singapore, Switzerland and the UK provided by the leading non-bank vault operators Brink's, Via Mat, Malca-Amit, G4S and Rhenus Logistics.

Historically gold has been an excellent way to preserve purchasing power over long periods of time. For example, today it takes almost the same amount of gold to buy a barrel of crude oil as it did 60 years ago which is in stark contrast to the price of oil in terms of national currencies such as the US dollar.

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