Daily Market Report 12/26/12

GOLD

Gold has been trading in the $1,651 to $1,668 per ounce trading range today on light volume. The market keeps looking for signs of some type of agreement from Congress or the U.S. President on the Fiscal Cliff issue. At 11am PDT today, Gold is trading at $1,659.40 per ounce, up $1.40 per ounce from last Monday on light volume.

The recent drop in the Gold price has resurrected physical purchases in the market. In Asia, physical buying has soared, while in the U.S. the Mint reported 2012 sales of Gold Eagles were over 1 million ounces. 

IRAQ CENTRAL BANK BUYING GOLD TO BUILD UP RESERVES 

Iraq quadrupled its Gold holdings to 31.07 tonnes over the course of three months between August and October, data from the International Monetary Fund showed on yesterday. It is Iraq’s first major move in years to bolster its Gold reserves. The central bank of Iraq’s quadrupling of Gold reserves is important as there are many oil rich nations in the world with sizeable dollar and euro currency reserves and only a small allocation to Gold by these central banks alone could lead to higher Gold prices.

MORE GOLD MINING PROBLEMS IN SOUTH AFRICA

1,700 Gold miners started a sit-in at the Harmony Gold mine in South Africa. Demands from the underground mineworkers, led by the Association of Mineworkers and Construction Union (AMCU) representatives, include the withdrawal of the suspension of 578 employees, including contractors, who were suspended for taking part in an unprotected strike last week. The Union wants better mine safety and health benefits at the Kusasalethu Mine.   

SILVER

Silver has been above and below the $30 per ounce support level all morning. Holding the $30 per ounce support level, combined with the Fiscal Cliff resolution is very important to the short term direction of the price. At 11am PDT today, Silver is trading up $0.04 per ounce at $30 per ounce on light volume. 

The U.S. Mint reported Silver Eagle 2012 sales were over 33 million ounces.

PRE-ORDER 2013 1oz American Silver Eagles at Today’s Low Price

You can PRE-ORDER the 2013 U.S. 1 ounce .999 fine Silver Eagles in quantities of 100 or more at today’s price. These will be the popular First Strike Eagles in original tubes of 20, or sealed boxes of 500 (First Strike Green Monsters). We expect to be able to ship these Silver Eagles between January 20 and January 30, 2013. Delivery dates will be based on the U.S. Mint and their exact shipment dates are not guaranteed. 50% of payment via check or bank wire is due when the order is placed, with the balance of 50% due when the coins are received from the U.S. Mint and ready for delivery to you. To place your order, please visit http://www.mintstateGold.com/Silver/bullion-coins-and-bars/Silver-american-eagles/us-Silver-1oz-american-eagle-2013-bu-presale.html.