Gold and Silver JUMP on More QE Hopes

  • Like on Facebook
  • Share on Google+
  • Share on LinkedIn

On Wednesday, gold (NYSEARCA:GLD) futures for August delivery jumped $31.90 to settle at $1,608.10 per ounce, while silver (NYSEARCA:SLV) futures gained 66 cents to close at $27.47.

Both precious metals outperformed the market, as the U.S. dollar broke its five-day winning streak against the euro currency. A recent article by the WSJ hints that the Federal Reserve could soon take more action, such as launching another round of quantitative easing or extending low interest rates beyond 2014.

Don’t Miss: SILVER: A Metal of Sunken Treasure and Champions

Jon Hilsenrath writes, “Amid the recent wave of disappointing economic news, conversation inside the Fed has turned more intensely toward the questions of how and when to move. Central bank officials could take new steps at their meeting next week, July 31 and Aug. 1, though they might wait until their September meeting to accumulate more information on the pace of growth and job gains before deciding whether to act.”

By the end of the day, the SPDR Gold Trust (NYSEARCA:GLD) closed 1.40 percent higher, while the iShares Silver Trust (NYSEARCA:SLV) logged a gain of 1.18 percent. Newmont Mining (NYSE:NEM) and Goldcorp (NYSE:GG) both settled more than 3 percent higher. Meanwhile, silver miners (NYSEARCA:SIL) such as Endeavour Silver (NYSE:EXK) and First Majestic (NYSE:AG) surged 5.98 percent and  6.15 percent, respectively.

Investor Insight: Fed Chatter and Caterpillar Outlook BOOST Gold and Silver

If you would like to receive professional analysis on equity miners and other precious metal investments, we invite you to try our premium service free for 14 days.

Disclosure: Long EXK, AG, HL, PHYS

More Articles About:

To contact the reporter on this story: staff.writers@wallstcheatsheet.com To contact the editor responsible for this story: editors@wallstcheatsheet.com

Yahoo Finance, Harvard Business Review, Market Watch, The Wall St. Journal, Financial Times, CNN Money, Fox Business