Gold advanced for a second day Wednesday, gaining safe-haven support from GDP data showing that the U.S. economy shrank in the fourth quarter of 2012 for the first time in more than three years.
Gold futures for April delivery — the new, most active contract — settled up $18.90, or 1.1%, to $1,681.60 an ounce on the Comex in New York. Gold prices traded between $1,663.50 and $1,684.00.
"Clearly with the negative GDP, we’re seeing a flight to safety," Tim Evans, the chief market strategist at Long Leaf Trading Group in Chicago, said in a telephone interview relayed on Bloomberg. "Growth has been fairly stable in recent quarters, but if we see more numbers like this, gold is going to have a good run."
The gross domestic product contracted at an annual rate of 0.1% from October to December after growing 3.1% in the third quarter, the U.S. Commerce Department said Wednesday. The decline was the first since the April to June period in 2009.
Silver led percentage gains in precious metals Wednesday. Silver for March delivery surged 99.3 cents, or 3.2%, to $32.177 an ounce, ranging from $31.25 to $32.19.
PGM advances settled on the modest side:
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April Platinum rose $10.40, or 0.6%, to $1,689.30 an ounce, trading between $1,678.70 and $1,693.60.
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Palladium for March delivery edged up $1.65, or 0.2%, to $751.40 an ounce, ranging from $744.80 to $760.50.
London Precious Metals
Precious metals in London were mostly higher. Platinum was the exception, dipping 0.3%. In contrasting the Tuesday PM to Wednesday PM Fix prices:
- Gold climbed $14.00, or 0.8%, to $1,677.50 an ounce,
- Silver advanced 29.0 cents, or 0.9%, to $31.35 an ounce,
- Platinum lost $5.00 to $1,668.00 an ounce, and
- Palladium added $17.00, or 2.3%, to $756.00 an ounce
Sales of US Bullion Coins
U.S. Mint distributors ordered 10,000 ounces of American Eagle gold coins and 41,500 ounces of Olympic America the Beautiful Five Ounce Silver Bullion Coins. These gains are on the heels of several bullion coin milestones reached on Tuesday.
Since the U.S. Mint is now rationing its supplies of American Eagle silver coins, the flat reading noted today is not necessarily indicative of current buying desires.
The latest daily and year-to-date bullion coin sales figures follow.
| American Eagle and Buffalo Bullion Coin Sales | ||||
|---|---|---|---|---|
| Wednesday Sales | Last Week | Week-To-Date Sales | 2013 Sales | |
| $50 American Eagle Gold Bullion Coins | 9,500 | 3,000 | 17,500 | 124,500 |
| $25 American Eagle Gold Bullion Coins | 0 | 2,000 | 0 | 17,000 |
| $10 American Eagle Gold Bullion Coins | 0 | 2,000 | 0 | 24,000 |
| $5 American Eagle Gold Bullion Coins | 5,000 | 5,000 | 5,000 | 110,000 |
| $50 American Buffalo Gold Bullion Coins | 0 | 27,500 | 5,000 | 72,000 |
| American Eagle Silver Coin* | 0 | 0 | 1,413,000 | 7,420,000 |
| America the Beautiful 5 Oz. Silver Bullion Coin Sales | ||||
|---|---|---|---|---|
| Wednesday Dales | Last Week | Week-To-Date Sales | All-Time Sales | |
| 2012 El Yunque National Forest 5 oz. Silver Bullion Coins | 0 | 0 | 0 | 21,900 |
| 2012 Chaco Culture National Historical Park 5 oz. Silver Bullion Coins | 0 | 0 | 0 | 20,000 |
| 2012 Acadia National Park 5 oz. Silver Bullion Coins | 0 | 0 | 0 | 25,400 |
| 2012 Hawai’i Volcanoes 5 oz. Silver Bullion Coins | 0 | 0 | 0 | 20,000 |
| 2012 Denali National Park 5 oz. Silver Bullion Coins | 0 | 0 | 0 | 20,000 |
| 2011 Olympic National Park 5 oz. Silver Bullion Coins | 8,300 | 0 | 9,300 | 104,900 |
| 2011 Vicksburg National Military Park 5 oz. Silver Bullion Coins | 0 | 0 | 41,200 | |
| 2011 Chickasaw Park 5 oz. Silver Bullion Coins | 0 | 0 | 4,300 | 35,700 |
| TOTAL | 8,300 | 0 | 13,600 | 289,100 |
Coin sales figures shown above are in the number of coins sold. Calculate total ounces by using the bullion coin’s weight.
