Gold and silver stayed about even on a day where the market was very much in a holding position ahead of a few days of economic data to close out the week. Though both metals were about even all day, it continues to be evident that market bears are still very much in control. With gold hitting a 5-month low for the second straight day, it is likely that bargain hunters may begin to make large purchases of gold and silver.
This Week's Economic Data
Starting tomorrow this week is going to pick up speed in a hurry. Tomorrow marks the release of both the ADP US jobs report for November as well as the Federal Reserve's beige book. The beige book is an official publication produced by the Federal Reserve which gauges and discusses economic activity and growth in the United States. The ADP jobs data measures how many workers were added to the workforce during the course of November.
Thursday, the European Central Bank is scheduled to convene for their monthly policy meeting. Though the ECB is not at all expected to make any changes to monetary policy in the EU region, investors will anxiously await what ECB president Mario Draghi has to say about the recently lowered key lending rate. Though the exact impact of the key lending rate being reduced may not be realized until a few months down the road, investors will want to hear what the move has done so far. The European Union recently saw its inflation rate rise, something that may help the region avoid a period of deflation that was a major fear only a few weeks ago.
Finally, the latest US jobs data will be due out on Friday, bringing the busy latter part of the week to an end. Because investors have been obsessing about the timing of the tapering of Quantitative Easing, any and al economic will be scrutinized more than normal. A lack of any new geopolitical developments is also prompting investors to focus more on the possible reduction of Quantitative Easing than anything else. With the December FOMC policy meeting looming, investors are going to be using this week's economic data as a way of either confirming or denying the notion that the FOMC will reduce QE at their next meeting.