Improving Coin Sales Could Signal Higher Gold Prices
Gold was essentially flat today, trading at $1729 per ounce at 7:20 a.m. PT on the New York Spot Market while silver was lower at $33.50 per ounce. Traders uneasy about Europe pushed the euro lower as Greece and its creditors were unable to agree on terms of a debt agreement prior to a crucial summit in Europe. European leaders are generally expected to agree on a balanced budget rule on Monday as they sign off on a permanent rescue fund for the euro zone. Greece’s Prime Minister appealed to the country’s party leaders for the unpopular fiscal reforms that may be essential to helping save the embattled nation.
Inspite of the uncertainty in Europe, significant demand among gold investors may lead the precious metals markets to new levels. Coin sales are often an initial indicator of growing demand for precious metals as well as a potential rally for gold, said Nick Moore, the head of commodity strategy at the Royal Bank of Scotland.