Bullion & Business Weekend Report – Dec. 26

Gold and silver prices moved narrowly in both New York and London during the holiday-shortened week. Platinum, however, soared following news that the SEC approved a proposed rule change to list and trade ETF Securities Platinum and Palladium Trusts.

In other markets, crude oil pushed above $78 a barrel for the first time in three weeks while US stocks ended at new 2009 highs. Major European indexes enjoyed weekly gains as well.

In London bullion weekly prices, gold remained unchanged, silver rose 0.1 percent and platinum jumped 2.8 percent. In New York precious metals this week, gold fell 0.6 percent, silver climbed 0.7 percent and platinum advanced 2.7 percent.

Friday and weekly dollar figures follow:

London gold was fixed at the same $1,104.50 an ounce. New York gold for February delivery finished at $1,104.80 for a weekly loss of $6.70.

London silver closed to $17.32 an ounce, rising a penny from last Friday’s close. New York silver futures for March delivery ended at $17.440, gaining 12 cents on the week.

London platinum ended at $1,456.00 an ounce, soaring $39.00 since last Friday’s close. New York platinum for January delivery closed to $1,467.90, surging $38.60 on the week.

Notable bullion quotes follow:

"While we wouldn’t rule out the possibility of further long liquidation, gold does appear to have reached a level investors are happy to increase their exposure, which should help limit substantial weakness," James Moore, an analyst at TheBullionDesk.com, in a note cited on MarketWatch.

"Platinum and palladium recorded hefty upward moves," wrote Jon Nadler, senior analyst at Kitco Metals, Inc. "An SEC verdict brought shares of proposed ETF Securities Platinum and Palladium trusts one step closer to final approval, and it lifted platinum and palladium prices to their highest in a week. Platinum, in fact, has not traded as high since the 4th of the month."

"The ETF story is interesting because … it doesn’t take a lot of money to make platinum and palladium move up," George Gero, vice president with RBC Capital Markets Global Futures in New York, said at Reuters.

"It looks like gold has found a new support level, and the brief rally we saw in the dollar is ending," Michael K. Smith, the president of T&K Futures & Options in Port St. Lucie, Florida said at Bloomberg. "As the dollar makes its way lower now, gold will benefit."

Gold, considered a hedge during times of high inflation and economic uncertainty, tends to follow oil and move opposite to the U.S. dollar. A rising greenback makes dollar-denominated commodities, like bullion, more expensive for holders of other world currencies.

To follow are silver, gold and platinum performance charts, oil news, week-ending stock summaries, and precious metal article summaries.

London Fix Charts: Silver, Gold and Platinum
(Dec 18 – 24)

The London Fix is one of the most used bullion quotes around the world. The London AM fix for gold and platinum begins at 10:30am GMT (5:30am in New York), and the PM fix begins at 3pm GMT (10am in New York). The London Fix for silver begins each business day at 12pm GMT (7am in New York).

London Fix Precious Metals Prices

Weekly World Business News: Oil, Gasoline, and Stocks Prices

Crude oil prices rose on Thursday "as a better-than-expected report on U.S. jobless claims and a weaker dollar lifted prices," wrote Moming Zhou of MarketWatch.

"We look for a price of $78 to $80 in the first half of the year," Brison Bickerton, chief energy strategist at RBS Sempra Commodities in Stamford, Connecticut, said in a Bloomberg Television interview. "We believe that as fundamentals tighten up in the second half of the year, oil can press higher to $85."

New York crude oil for February delivery jumped $1.38, or 1.8 percent, to $78.05 a barrel on Thursday. For the week, oil soared $3.63, or 4.9 percent.

Prices at the pump rose a half penny from Friday to Saturday. The national average for regular unleaded gasoline was $2.595 a gallon, according to a AAA fuel report. The price is also a half cent higher than last week, but 3.8 cents lower than a month back. Compared to a year ago, average gasoline prices have soared 95.3 cents.

U.S. stocks moved higher on Thursday "with indexes climbing to new highs for the year after upbeat reports on the labor market and durable goods orders fueled optimism about the economic recovery," wrote Ben Rooney of CNNMoney.

For the week, the Dow gained 1.85 percent, the S&P rose 2.18 percent, and the Nasdaq surged 3.35 percent.

Thursday figures for the three major US indexes follow:

• The Dow added 53.66 points to close at 10,520.10.

• The S&P rose 5.89 points, closing at 1,126.48.

• The NASDAQ advanced 16.05 points to finish at 2,285.69.

And in other world markets:

• The German DAX rose 11.75 points to close at 5,957.44.

• The Paris CAC 40 added 1.98 points, to close at 3,912.73.

• And the London FTSE 100 ended up 30.03 points to finish at 5,402.41.

A Christmas present for the U.S. — signs the economic recovery is gaining strength. The following weekly business recap video from Reuters discuses this and US stocks:

Bullion and Business Articles

In related silver and gold news, interesting or quick-read articles from the week include:

• Gold rises on weaker dollar, reducing weekly losses – MarketWatch
  Gold futures rose Thursday for a second session, continuing to rebound from their seven-week lows as a weaker dollar raised the metal’s investment appeal. The dollar remained lower against most of its major rivals after government data showed first-time claims for …

• Gold Rises Most in a Week as Dollar Drop Spurs Demand for Metal – Bloomberg
  Gold rose the most in a week as a drop in the dollar spurred demand for precious metals as alternative assets. Silver, platinum and palladium also gained. The dollar fell to the lowest level this week against …

• ‘Tis The Season To…Do Tally – Jon Nadler, Kitco
  Two days after hitting seven-week lows near $1072, gold prices were once again trading (just) above the $1100 mark, amid thinning conditions, ahead of today’s early close. The dollar pared its earlier, profit-taking-induced losses, and was off by 0.26 on the trade-weighted index, at 77.67 as of the last check. US jobless claims fell by 28,000 and hit their lowest levels since September of 2008. Capital equipment orders rose in November, but new home sales cratered following the expiration of cash-for-cul-de-sacs programs …

• Gold and Eagles’ Decent Demand; Fractionals Gone – CoinNews
  If last week’s US Mint coin sales report could be considered lackluster, the most recent figures for this week do nothing but continue that trend. Fortunately, a few entries did show some movement, even if that movement could not be called extraordinary. Gold coins appear to have led the pack with decent demand. Most likely this is due to the $50 price reduction on gold issues that stemmed from the lower gold prices …

• Silver Eagle Milestone, Collector Sets Decrease – Silver Coins Today
  New United States Mint stats reveal that sales were lower for three of their four available silver coin products. The 2009 US Mint Silver Proof Set was the biggest unit gainer of the collectible sets with weekly sales of 10,041. That was down from 12,136. Collectors are purchasing fewer 2009 DC & Territories Quarters Silver Sets. The latest weekly increase stands at 1,786 compared to 2,300. The 2008-dated Annual …

• 2010 Gold Eagle Bullion Coins on Sale Jan. 19 – CoinNews
  2010 American Eagle Gold and Silver One Ounce Bullion Coins will go on sale beginning January 19, 2010, the United States Mint told its authorized purchasers on Tuesday. In what can be described as roller-coaster of availability due to enormous demand for 2009 bullion Eagles, this news comes as an affirmation of at least an attempt by the US Mint to keep supplies available. The Mint, however, also states that the allocation process will be in place upon their introduction.

• 2010 Silver Eagle Bullion Coin Availability – Silver Coins Today
  The United States Mint today told its authorized purchasers that it would begin taking orders for 2010 American Eagle Silver Bullion Coins on January 19. The US Mint also said it would offer the 2009-dated versions “through the end of the year and into 2010 as long as inventories remain.” The coins, to include the new 2010s, will continue to be sold in an allocated, or limited basis …