Jobs report pushes precious metals prices upward; Russia stockpiles Gold

English: Gold reserves per capita.

English: Gold reserves per capita. (Photo credit: Wikipedia)

Disappointing data from the monthly United States jobs report is the latest news to cause concern over the American economy and prompt a spike in Precious Metals prices. The continued lack of stronger economic statistics is propelling the anticipation of further monetary easing by the Federal Reserve. Economist Mark Zandi described the sentiment of the individual worker, stating, “They (workers) are still feeling pretty awful. They recognize that we’ve made progress, that we’ve gone from losing a boatload of jobs to seeing some growth, but that’s very little solace in the context of an (8.1 percent) unemployment rate.”

Central banks from nations around the globe have been amassing sizable Gold reserves in recent years as a reaction to the global financial crisis. The World Gold Council recently announced that Russia has doubled its stockpile in the past five years by purchasing a half-billion dollars’ worth of Gold every month. If the Fed announces further quantitative easing and world economic leaders such as Russia continue accumulating large quantities of Gold, the price of the yellow metal is likely to continue its upward climb.

At 1 p.m. (EDT), the APMEX Precious Metals spot prices were:

  • Gold, $1,738.30, Up $33.70.
  • Silver, $33.68, Up $1.01.
  • Platinum, $1,593.30, Up $5.90.
  • Palladium, $654.40, Up $6.70.
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