Dealing Desk Update: Silver shines in a busy week’s buyingJun 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.
NOTES TO EDITOR
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