Tuesday morning precious metals benefited from the announcement that the Greek government is accepting the terms of a second bailout. The euro also gained support and the EUR/USD index gained 1.02% , quoted at 1.3256 at noon EST.
The 2012 week-long celebrations of the Year of the Dragon in China were nothing but a major 'gold rush' with gold sales volumes exceeding 95 million U.S. dollars, which is an almost 50 percent increase over last year's celebrations. Gold is increasingly being considered an investment asset on its own and gold and silver bars sales are soaring along with jewellry sales.
The value of mineral production in the United States increased by 12 percent in 2011 from that of 2010, suggesting that the nonfuel minerals industries, particularly metals, continued to recover from the economic recession that began in December 2007 and lasted well into 2009.
The 2011 copper market, according to a Roundup 2011 presentation in January, will present a 1.5 Mt deficit. The picture will change in 2013 when production exceeds market demand but still the surplus will be easily swallowed by investment demand. In the 2011-2015 interval some 66 new copper mining projects will come online.
Atac Resources’ press releases regarding the discovery of a "Carlin type deposit" on their Rau, Yukon property made headlines and managed not only to attract investors’ attention but also to raise some eyebrows in the geological community and made some jealous individuals, saying that the stock is overbought already.
Wednesday market sentiment was jittered by the never-ending Greek debt negotiations story. Main indices recovered some of the ground lost earlier in the morning but some of them were still low in the afternoon session.