This morning, precious metals are little changed with the exception of silver which is up 0.4 percent in price at $15.72, while gold is at $1,163.30.
May gold in Shanghai is down 1.3 percent in price, while silver is off just 0.1 percent, which suggests some industrial interesting may be supporting silver.
A day earlier, precious metals were lower, falling by one percent on average with the PGMs retreating by 1.7 percent on average. Gold closed at a price of $1,163.50, having earlier set a low at $1,155.20.
Gold, silver and platinum, have been under a lot of downward pressure due to the greenback strength, but with many currencies in turmoil and US equities showing some stress on the back of possible early rate hikes, plus the stronger dollar, it may be there is room for some safe-haven buying, especially at what could be considered bargain levels.
Yesterday equities were pressured, with the Euro Stoxx 50 off 1.2 percent and the Dow off 1.9 percent. Dollar strength on the back of higher interest rate expectations are starting to worry the market, it would appear. Asian markets are mixed with the Nikkei up 0.3 percent, the Hang Seng is off 0.6 percent, the CSI 300 is little changed while the Kospi is off 0.2 percent.
On the currency front, all eyes are turned to the dollar strength and euro weakness with
the dollar index at 98.68 and the euro at 1.0691.
Sterling is at 1.5077,
the aussie is weak at 0.7609, the yen is last at 121.28, the yuan is
weak at 6.2620 and the Russia's rouble is easier too at 62.23.
With the real, rand and rupiah, also weakening rapidly, there is considerable turmoil in the financial markets that could start to worry the broader markets – which in turn could lead to a pick-up in safe-haven interest in the likes of the yen and gold.
