Daily Market Report 06/17/14

GOLD

Gold prices are slightly lower today, as we see some profit taking after hitting three-week highs yesterday. Gold did trade as low as $1,259 before rallying back above $1,270 per ounce.

The civil war in Iraq remains the prime issue in precious metal markets. The situation there has worsened this week, so there is still concern among many commodity traders and investors. And the Russia-Ukraine tensions are still running high as Russia has cut the natural gas supply to Ukraine and said it will supply natural gas to Ukraine only if paid for in advance. Both of these two geopolitical flashpoints are likely to become worse before they become better. The Gold and Silver markets should at least see limited selling as these two issues play out, and will likely see more safe-haven demand from traders and investors. At 11am PDT today, Gold is down $3 per ounce, trading at $1,271 per ounce on average volume.

SILVER

Silver is trading in a very narrow price range, from $19.44 to $19.78 per ounce. The majority of the exchange trading is near the higher end of the range. At 11am PDT today, Silver is trading at $19.73, up $0.02 per ounce on average volume.