Gold: $1,258.04 0.82
Silver: $16.02 0.01
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July 26th Weekly Silver Market Update
Article By: Kyle Wanchalk on July 26th, 2013

Gold and silver were fairly quiet in this week of trading as there were few economic news stories to hang our hats on. The first day of the week saw the world marketplace digest the things Ben Bernanke had to say in his speeches over a week ago. Despite him speaking during the middle of last week, the world marketplace didn’t react to what he had to say until the following Monday.

In addition to Bernanke’s comments, the other piece of information investor have been latching on to this week is the US Dollar Index. Whenever there is light economic data, the number one manipulator of the spot value of precious metals is the US Dollar Index.

Bernanke’s Comments

Though it was over a full week ago, the world marketplace waited until this Monday before it fully reacted to Ben Bernanke’s remarks which stated that US monetary policy is by no means on a preset course to being altered.

Bernanke and the Fed’s position on the future of monetary policy in the US helped boost the prospects of gold and silver immediately on Monday. Because they admitted that monetary policy will remain accommodating for the foreseeable future, the outlook on the US Dollar dipped while precious metals values jumped forward.

US Dollar Index

Apart from the marketplace reacting to Bernanke’s last week comments there was really not that much going on in the precious metals marketplace. With few news stories to report most investors simply kept their attention on the US Dollar Index which jumped around quite a bit this week.

There was some economic data out of Europe and China in the form of the latest Purchasing Manager’s Index. For China the PMI report was disappointing in that it suggested their economy will experience contraction in the near future. This is not too surprising as the Chinese economy’s strength has been called into question lately.

The EU experienced a good PMI report for the first time in almost two years. The PMI for the EU came in at a reading above 50 for the first time in a long time suggesting that the European economy may be on its way to a full recovery. Only time will tell if the European economy will actually start performing well for an extended period of time, though signs are pointing in a positive direction.

This market update is provided weekly with analysis. You can always check spot price of silver by watching our on-site charts.