Daily Market Report 06/19/12

GOLD
After seven up days in a row we finally saw a little profit taking today. Gold failed to hold above the $1,630 per ounce level and sold off. Buyers are waiting for Fed Chairman Bernanke’s testimony at 9:30am PST tomorrow, before adding to their Gold holdings. Any stimulus from the Federal Reserve is seen as unequivocally bullish for Gold prices because extra liquidity tends to debase the dollar and create future inflationary risks. At 11am PDT, Gold is down $6.20 per ounce, trading at $1,622.80 per ounce on normal volume of trading.

On June 18, 2012, the FDIC distributed a rule-making notice to member banks, telling them it intends to change collateral rules, among other things. Under new rules, Gold Bullion would be entitled to a zero percent risk weighting. This new weighting for Gold is the results of a Basel Committee of Banking Supervision decision and implements aspects of the Dodd-Frank Act. See the complete article at:
http://www.mintstategold.com/investor-education/cat/news/post/FDIC_gold_return/

SILVER
Silver continues to trade with a very thin price range. The high/low today was $28.95 to $28.24 per ounce on light trading. At 11am PDT, Silver is down $0.35 per ounce, trading at $28.45 per ounce.