SMM Morning Review - 2012/3/15 Gold & Silver

SHANGHAI, Mar. 15 (SMM) -- COMEX gold futures for delivery in April opened at USD 1,675/oz and closed at USD 1,642.7/oz on March 14, down USD 33.2/oz or 1.98% from the previous trading day, and USD 1.55/oz lower than London’s USD 1,644.25/oz in the afternoon. Highest and lowest COMEX prices during the day were USD 1,682.2/oz and USD 1,642.7/oz.

COMEX silver futures for May delivery opened at USD 33.4/oz and closed at USD 32.195/oz on March 14, down USD 1.205/oz or 3.61% from the previous trading day, and USD 0.645/oz lower than London’s USD 32.84/oz during the day. Highest and lowest COMEX prices during the day were USD 33.5/oz and USD 31.8/oz.

The US dollar index surged overnight, inducing heavy losses in gold and silver, after Fed president Bernanke’s silence towards QE3 during the meeting of Independent Community Bankers of America National Convention on Wednesday struck harder on QE3 hopes. Fitch Ratings’ negative outlook of British debt and warning of 50% possibility for a downgrade on its AAA rating also contributed to stronger US dollar buying. SMM expects the two precious metals to remain weak in the near term.

More analysis available in 2012 SMM Precious Metals Weekly.