SMM Morning Review - 2011/9/23 Gold & Silver

SHANGHAI, Sept. 23 (SMM) -- COMEX December gold futures prices opened at USD 1,782.3/oz and closed at USD 1,741.7/oz on September 22nd, down USD 66.4/oz or 3.67% from previous trading day, and USD 19.7/oz higher than London’s USD 1,722/oz during the day. Highest and lowest COMEX prices during the day were USD 1,787.7/oz and USD 1,724.7/oz.

COMEX December silver futures prices opened at USD 39.8/oz and closed at USD 36.6/oz on September 22nd, down USD 3.9/oz or 9.63% from previous trading day, and USD 1.25/oz lower than London’s USD 37.85/oz during the day. Highest and lowest COMEX prices during the day were USD 39.8/oz and USD 35.8/oz.

US Fed’s pessimistic view towards the country’s economy on September 21st further damped investors' confidence towards the US economy, and disappointing European and Germany PMI data released during the day added to worries towards the euro zone economy, with global stock and commodity prices plunging during the day. Gold and silver prices also plunged as a result. SMM expects gold and silver prices to stay on a downward track in the short term as investors’ confidence in financial markets will not easily recover.