Daily Market Report 6/18/13

GOLD

India’s trade deficit was reported this morning, widening to a seven-month high of $20.1 billion in May, surging 18.8% on-year. Gold imports continued to remain high despite recent measures from the government and the Reserve Bank of India (RBI). The Indian government has raised the Gold duty twice this year, first to 6% and recently to 8%. India’s imports slowed from a month ago but still registered a growth of 7% to $44.6 billion, mainly on Gold imports, which account for around 11% of total imports. It is believed that India imported 162 tonnes of Gold in May. Gold is waiting for direction from the Federal Reserve policy meeting.

At 11am PDT, Gold is trading at $1,368.10, down $17.60 per ounce.

SILVER

Sales of 1 ounce .999 Silver Eagles by the U.S. Mint are heading for the best start to a year since at least 1986 as prices slumped. Sales in 2013 have reached 24.03 million ounces, according to data released today. That’s the highest for the first six months of a year since records began, with two more weeks to go. Demand remains at an “unprecedented level,” and sales of Gold and Silver coins may reach an annual record this year. Richard Peterson, the acting director of the mint, said on June 5th that Silver coin sales were suspended in January for more than a week because of a lack of inventory. In April, purchases more than doubled from a year earlier after prices tumbled into a bear market.

At 11am PDT, Silver is down $0.11 per ounce, trading at $21.83 per ounce.