Gold futures prices Wednesday settled to a new record high for a second straight day. A weaker greenback was supportive, as was news of rising inflation and continued worries over euro zone debt.
"The recent U.S. PPI and price data elsewhere are clear indications that inflation is tracking higher, which certainly is another plus for the gold market," Bill O’Neill, partner of commodity investment firm LOGIC Advisors, was quoted on Reuters.
The U.S. Labor Department said wholesale inflation (PPI) at the core rose 0.4 percent in July, marking the largest increase in six months.
"The inflationary story is back," Adam Klopfenstein, a senior strategist at MF Global Holdings Ltd. in Chicago, said in a telephone interview that was cited on Bloomberg. "The weaker dollar is also helping gold."
December gold prices rose $8.80, or 0.5 percent, to end at a fresh record of $1,793.80 an ounce on the Comex in New York. Gold traded between $1,781.60 and $1,797.600. The latest increase puts the yellow metal up $372.40, or 26.2 percent, in 2011.
Silver prices for September delivery climbed 53.2 cents, or 1.3 percent, to settle at $40.351 an ounce. Silver ranged from $39.785 to $40.615. It has gained $9.41, or 30.4 percent, this year.
Platinum prices for October delivery rose $22.70, or 1.2 percent, to close at $1,840.80 an ounce, trading between $1,816.80 and $1,848.80.
Palladium prices for September delivery surged $19.40, or 2.6 percent, to settle at $775.90 an ounce. Palladium ranged from $750.00 to $784.35.
London Precious Metals Prices
London bullion prices also moved higher. When comparing London PM fixing prices from Wednesday over Tuesday, gold rose $7.50 to $1,790.00 an ounce, silver prices advanced 66.0 cents at $40.020 an ounce, platinum rose $30.00 to $1,841.00 an ounce, and palladium advanced $29.00 at $778.00 an ounce.
U.S. Mint Bullion Coin Sales
For a second straight day, gains in United States Mint bullion coins were limited to the one-ounce sizes. Sales climbed 3,500 for the 22-karat American Gold Eagle, 2,000 for the 24-karat American Gold Buffalo, and 150,000 for the .999 fine American Silver Eagle. The latest Mint bullion product sales figures follow:
| Sales of US Mint American Eagle and Buffalo Bullion Coins | |||
|---|---|---|---|
| Daily Gains |
August Gains |
YTD 2011 |
|
| Gold Eagle Coin (1 oz.) | 3,500 | 76,500 | 645,500 |
| Gold Eagle Coin (1/2 oz.) | 0 | 3,000 | 61,000 |
| Gold Eagle Coin (1/4 oz.) | 0 | 4,000 | 68,000 |
| Gold Eagle Coin (1/10 oz.) | 0 | 40,000 | 305,000 |
| Gold Buffalo Coin (1 oz.) | 2,000 | 17,500 | 109,000 |
| Silver Eagles (1 oz.) | 150,000 | 2.1345M | 27.406M |
| Sales of America the Beautiful 5 Oz. Silver Bullion Coins* | |
|---|---|
| YTD 2011 |
|
| Gettysburg National Military Park 5 oz. | 126,700 |
| Glacier National Park 5 oz. | 126,700 |
| Olympic National Park 5 oz. | 80,700 |
| Vicksburg National Military Park 5 oz. | 27,500 |
| Chickasaw Park 5 oz. | 15,200 |
| TOTAL | 380,400 |
*Gettysburg and Glacier America the Beautiful Five Ounce Silver Bullion Coins are sold out. Unlike other investment-grade products, the United States Mint does not provide daily per coin sales totals for the Olympic, Vicksburg, and Chickasaw America the Beautiful Five Ounce Silver Bullion Coins. Their individual totals are as of August 2. The five ounce combined coin totals above (last line) are as of August 15. The figure represents an increase of 1,800 from the previous seven days, which was the same increase as the previous week.
