Both gold and silver are feeling heavy selling pressure through midday on Wednesday. Speeches made by Russian president Vladimir Putin and president of the US Federal Reserve Janet Yellen are making it very hard for precious metals to stop the losses from piling up even more than they have already. In stark contrast to last week, this 5-day trading session is not going to give the investing world an overwhelming number of economic reports upon which to reflect. For this reason it may be difficult for gold and silver to stop spot values from falling and even more difficult to gain back any of the last few days’ losses.

The world is continuing to focus on any and all matters stemming from Ukraine but a solution to the crisis may be in the works much sooner than anyone had expected.

Speeches By Putin, Yellen Have Put Intense Pressure On Precious Metals

In the early morning hours, even before markets in the US opened, Vladimir Putin was quoted as saying that he is willing to talk about peaceful solutions to the crisis in Ukraine. Despite much of the world claiming that Putin only stands to benefit from increased violence throughout Ukraine’s east, Mr. Putin claims that he only wants a peaceful solution to the ongoing crisis. Putin even went as far as to tell pro-Russian separatists who have taken up post throughout Ukraine’s east to postpone a referendum that was scheduled to be voted upon in less than a week’s time. The referendum would have more than likely given over another large chunk of Ukraine to Russia.

As you might have guessed, Putin’s supposed dedication to the peaceful resolution of the crisis in Ukraine put a major dent in safe-haven demand for gold and silver. Should Putin actually follow through with pursuing a peaceful resolution to the crisis in Ukraine it is more than likely that safe-haven demand for precious metals will fall off altogether.

Spot values were dealt another blow later in the morning when Janet Yellen spoke to the Congressional Joint Economic Committee and reiterated her positive outlook on the US economy. In addition to that, she also maintained that interest rates would remain low for the foreseeable future. Only a short while ago, if you can recall, investors delved into widespread panic as it was believed by many that interest rates would be risen as early as next spring. At the end of the day, both Putin and Yellen’s remarks both worked against precious metal spot values considerably. With few new inputs expected throughout the remainder of the week, it is more than likely that gold and silver will continue to feel heavy pressure, further pushing spot values downward.

Spot gold and silver are continuing to feel selling pressure on Wednesday even though the 1st quarter’s GDP report came back far weaker than expectations. Despite the large amount of economic data on the slate for today and this week, investors are still continuing to pay close attention to the situation in Ukraine. Pro-Russian rebels all throughout Ukraine’s east have been taking over towns and official offices and more or less seizing parts of the country as their own. Violence is sporadic and most often not deadly, but the crisis in Ukraine is far from being resolved.

The United States was reported as having placed more economic sanctions on Russian businesses and individuals, but sanctions have thus far done nothing in the way of swaying Vladimir Putin’s opinion about how Ukraine should be handled. The crisis will recede to the back burner for the remainder of the week more than likely, but it is far from being out of the news completely.

Busy Week From An Economic Data Standpoint

To say that this week is a busy week from an economic data standpoint is a bit of a misnomer due to the fact that most of the data is due out Wednesday through Friday. Nonetheless, there is still a healthy amount of US and world economic data on the slate this week. Today yielded the 1st quarter GDP report for the United States and showed a US economy that is growing slower than expectations. Compared to expected year on year growth of more than 1%, the US GDP actually only grew by about .1%. Under ordinary circumstances, gold and silver spot values would have been given a noticeable boost as a result of the weak GDP data, but as a result of the FOMC meeting wrapping up later this afternoon, such gains were not realized.

Investors are continuing to hold their positions as they anxiously await Janet Yellen’s post-meeting statement. The marketplace is expecting to hear two things during Yellen’s statements; 1. that Quantitative Easing is further reduced and 2. the Fed’s current outlook on the US economy’s strength. These two vital pieces of information, if received, have a very high chance of moving precious metals spot values in one direction or another. If further tapering is announced, however, there is no denying that it will more than likely put even more downward pressure on precious metals.

Rounding out the week are both a key Chinese manufacturing report as well as April’s Labor Department statistics. The Chinese economy’s strength has been called into question recently which is why the investing world is going to continue to pay such close attention to any and all economic data that surfaces out of China. As is almost always the case, the marketplace will be paying incredibly close attention to the non-farm payrolls data due out on Friday as to gauge whether or not the unemployment rate is going to move. Currently the market is expecting to see job growth number more than 200,000 in April, but we will have to wait until Friday to find out for sure.

Gold and silver are trading even to slightly higher through the morning hours on Wednesday. A lack of any fresh bullish news combined with deescalating tensions in Ukraine are both making it difficult for precious metals to make any significant strides forward.

There were a number of PMI readings due out today, all of which were important to investors the world over. The US is not expected to yield any overly important pieces of economic data this week which is yet another factor working against gold and silver. US equities and the US Dollar have been making strides forward over the last few days and have been putting unrelenting pressure on precious metals.

PMI Readings Catch the Marketplace’s Attention

Despite there not being many pieces of economic data due out of the US this week, there were quite a few PMI readings due out earlier this morning. China’s manufacturing PMI reading came in at 48.0 in April, down from 48.3 in March and well below the all-important reading of 50. Any PMI reading below 50 suggests that that sector of the economy is experiencing contractions. While China’s PMI readings were disappointing, the output of their manufacturing sector is still far better than most other industrial nations around the world.

The EU also received their PMI readings from April, all of which were better than anticipated. The EU’s services PMI for April came in at 52.5 versus a reading of 52.2 in March. The manufacturing sector PMI reading for April also came in .3 better than March at 53.3. Even though there are persisting deflationary worries making rounds across the EU, the overall economy is performing incredibly well over the last few months. Having said that, it is expected that the EU economy will only continue to improve as this year moves forward.

Even though there has not been much US economic data for the market to reflect on this week, there are a number of factors working against precious metals spot values, including a strong USD index and stronger US equities. So long as these two entities continue to gain momentum it will be nearly impossible for precious metals to make any significant gains.

Gold and silver are hovering around even for the day thanks to a few conflicting factors. Upbeat US economic news is battling with increased tensions in Ukraine for the attention of the market and as it stands, the US economic data is winning that battle. For the first time in months a positive report with regard to the US industrial sector was released, an event that triggered a surge in the value of the US Dollar.

On the other side of the world, violence across Ukraine’s eastern half has picked up in recent days and is increasingly catching the attention of the world. Russia has remained quiet on matters over the course of the past few days, but many are awaiting how they respond to the military of Ukraine taking armed action against pro-Russian demonstrators and militiamen.

US Sees Rise In Industrial Production

Industrial production for the month of March was reported as being up .7%, meaning that February and March combined saw an increase in industrial production of nearly 3%. Despite the fact that most market analysts were expecting to see industrial production rise by somewhere in the neighborhood of .5%-.7%, it is a surprise in its own right to see a piece of US economic data meet and even slightly exceed expectations.

The better economic data only worked to boost a US Dollar which has been on the up and up recently. Of course, as you might have expected, the improved US Dollar is only making it more difficult for spot gold and silver to make gains.

Ukraine Takes Military Action Against Militiamen

Since the beginning of last week, tensions across Ukraine have been on a steep path upward. Demonstrators and armed militiamen have been taking over buildings, towns, and other strategic locations across the eastern regions of the country. Up until yesterday, however, the armed militants have been met with little to no resistance.

In the city of Kramatorsk, Ukraine, militants even went as far as to take over command of a strategic airfield. That same airfield was flooded with members of the Ukraine military yesterday and is now back under the control of the government. Still, the unrest and violence across the eastern half of the country is beginning to grow at alarming rates. As Ukraine takes more military action against dissenters, the world is wondering how, or if, Russia will respond. There is no saying if Russia will intervene militarily or not, but it is unlikely that it will stand idly by while ethnic Russians are embattled with the Ukrainian military.

Though the crisis in Ukraine is clearly far from resolved, the ongoing anxiety and tensions are working to drive safe-haven demand for precious metals. Unfortunately, however, the stronger US Dollar as a result of upbeat industrial data is preventing the spike in safe-haven demand from making any lasting upward impacts on precious metals’ spot values. We will continue to watch the situation in Ukraine closely as it is changing shape with each passing day.

Gold and silver are both edging lower during the first half of the day on Wednesday as the market prepares for the latest FOMC minutes, scheduled to be made public this afternoon. After last week’s downbeat employment report for March, investors are more readily focusing on today’s FOMC minutes for some insight into the strength of the US economy, or at least what the Fed thinks of the US economy.

In other news, there have been a number of reports claiming that pro-Russian demonstrations throughout Ukraine are beginning to increase in number. The rise in unrest in the turmoil-ridden nation is only working to help gold and silver. Though there has not been too much violence as a result of recent demonstrations, it is definitely back on the forefront of investors’ attention.

FOMC Minutes Follow Poor Jobs Data

The biggest piece of news on the minds of investors last week was that of the payrolls data from March. Though the entire 5-day trading session was full of economic data, none of it was as important as the jobs figures. Because the payrolls data came just days after Federal Reserve chairperson Janet Yellen spoke of the US job market’s strength, investors were expecting a minimum of 205,000 new payrolls added to the US economy in March. Much to the surprise of everyone, however, the jobs figures showed that only 192,000 payrolls were added to the economy last month.

Though this number does not fall too short of market expectations, it is unnerving that the jobs data was weak after high-ranking members of the Fed just recently spoke of the US employment sector’s strength. As a result of the weak jobs data, investors will be paying close attention to today’s most recent FOMC minutes.

Finally, it was reported yesterday that the IMF revamped its forecasts for economic growth of the duration of this year and all of 2015. In the IMF’s most recent forecast revisions they see the UK leading world economic growth over the next two years. Officially, the IMF is expecting the UK economy to grow by more than 2.5% both this year and next. The US wasn’t left out of the report either as the IMF labeled the United States an integral factor to worldwide economic growth and recovery.

After more than a week of consecutive losses, gold and silver are finally seeing a day of gains. Bargain hunters have hit the market with full force in light of recently declined spot values, but bargain hunters alone are not enough to keep the spot values of gold and silver trending upward. If the marketplace continues to see a lack of bullish news with regard to gold and silver there is no saying how far spot values could decline.

This week is going to be bust as far as economic data is concerned thanks to a number of reports coming out of the US and Europe. Arguably the most important report of the week will come Friday in the form of March non-farm payrolls data. After recent remarks from members of the Fed the market is expecting payrolls to have jumped up by a considerable margin during March.

The Week’S Economic Data

Today is only Wednesday and the marketplace has already been dealt its fair share of US and world economic data. Earlier in the week it was reported that China’s manufacturing PMI moved upward for the first time in half of a year. Though its move upward was very slight, this is good news from a manufacturing sector that has recently been hit with a lot of scrutiny. We will continue to analyze any and all economic data out of China in order to gauge whether the uptick in the manufacturing sector was an isolated improvement or something indicative of a more lasting trend.

Europe’s manufacturing PMI declined during March which in turn spread rumors that the EU may soon be facing intense deflation. Though this is only a speculation, it is a valid one and one that the European Central Bank will have to carefully mull over at their meeting this Thursday. As it stands, the predominant thought is that the ECB will have to institute some sort of monetary stimulus measure in the near future; some are even pointing to tomorrow’s meeting as a possible time for new stimulus measures.

Finally, today marked the release of the latest US ADP employment report. Though this report is not hawked over nearly as much as the non-farm payrolls data will be, it is important nonetheless. The report indicated that about 191,000 jobs were added to the US economy this past March, a number that was below expectations. Still, most investors were happy to see any sign of healthy job growth and will take today’s report as being positive. Having said that, it will also bolster expectations for the payrolls data due out on Friday.

Gold and silver are trading lower for yet another day this week, adding to a growing downward spot value trend. Currently, gold is hovering around the $1,300 threshold and threatening to fall back below while silver has already fallen below $20. It is now pretty clear that the rally by gold and silver is finished as the market has essentially forgotten about the situation in Ukraine.

Barclays announced today that it revised its outlook on gold upward today, though their revision sees spot gold end the year below where it is at currently. According to Barclays, spot gold will be somewhere in the neighborhood of $1,250 when the year comes to a close. This forecast is much better than their original forecast of $1,205.

Quiet Week Has Been Working Against Gold, Silver

The fact that the crisis in Ukraine is thought about less and less with each passing day has stripped the market of its need for safe-haven assets. This, in turn, has worked against gold and silver significantly over the past two weeks. As safe-haven demand declined, investors began ridding themselves of their precious metals, causing massive spot value declines.

As if that wasn’t enough, Janet Yellen made comments last week that further dampened the outlook on precious metals. While talking to the media, Yellen said that if QE is done away with by the end of the year, interest rates in the United States may be risen as soon as next spring. The rising interest rates would make ownership in gold more expensive, less profitable, and generally unappealing to the market.

In other news from around the world, the Chinese central bank is reported to have recently been considering changes to their monetary policies in order to stimulate their ailing economy. Since the turn of the year, the Chinese have given the market nothing but disappointing economic and financial news. Last week the market caught wind of a rumor saying that yet another Chinese corporation was going to default on bond payments. This week, on Monday, the Chinese were the focal point of yet another disappointing piece of manufacturing data.

Now, the investing world is concerning themselves what, if anything, the Chinese central bank will do to combat the past three or so month’s worth of dismal economic data.

For the third consecutive day this week, gold and silver are trading lower and being negatively affected by a lack of bullish data. The FOMC is set to conclude their monthly policy meeting this afternoon, at which point Janet Yellen is set to address the press for the first time since being appointed chair of the Fed.

The marketplace was also greeted by additional rumors regarding the questionable economy in China. Recent news from the world’s second largest economy has been sub-par lately and in stark contrast to earlier forecasts claiming the Chinese economy would grow by significant margins in 2014.

Crisis In Ukraine On Back Burner, For Now

Last Sunday, the citizens of turmoil-ridden Crimea participated in a referendum to determine whether the region would remain part of Ukraine or join the Russian Federation. As expected, the overwhelming majority of those who participated in the vote decided to rejoin Russia. Officially, over 90% of voters decided to join Russia, a number that isn’t too surprising when you consider the fact that Crimea is dominated by ethnic-Russians.

Despite the referendum going the way of Russia, there has been no violence as a result of the vote. For this reason, tensions surrounding Russia and Ukraine have deescalated and the situation in general is heading to the back burner. Safe-haven demand for precious metals has also decreased considerably due to the fact that there has yet to be any real bouts of violence throughout the whole crisis in Ukraine.

With all this being said, we will continue to keep an eye on Ukraine as this crisis is still far from resolved and the threat of violence is still looming.

Chinese Economic Worries Grow Stronger

A few weeks ago, the first corporation in Chinese history defaulted on bond payments, an event that sparked some worries about the strength of the Chinese financial system, and economy in general. Today, rumors are circulating that another Chinese company is defaulting on bond payments too. Even though these rumors have yet to be confirmed, they are unnerving to say the least.

These financial woes following so close to recent sub-par industrial data is making investors worry about the prospects for China’s economy further along this year.

As tensions in Ukraine continue to calm down, investor risk-appetite is continuing to grow. As US equities continue to gain value, it will be difficult for gold and silver to recover from the last few days’ losses.

Despite a brief decline towards the end of last week, spot gold and silver are both making comebacks as of midday on Wednesday. There are a number of factors working in precious metals’ favor today, namely a significantly lower US Dollar. At present, the USD is now at a 2.5 year low versus the euro currency.

In other news, the crisis in Ukraine has made its way back to the front burner as tensions in the region have once again escalated. With a referendum to decide whether Crimea remains part of Ukraine or rejoins the Russian Federation only a few days away, the potential for violence to break out is rising at every turn.

Recently Weak Chinese Data Driving Down the USD

In most cases, weak economic data out of China tends to translate into a weaker spot price for gold and silver. This time around, however, weak Chinese data is having that effect on the US Dollar. Despite recently strong predictions with regard to economic growth this year, China has been the epicenter for somewhat consistently disappointing economic data.

While it is still too early to determine if this lull in the numbers out of China is temporary or indicative of a developing trend, a large quantity of investors are getting out early and not taking their chances.

Crisis In Ukraine Sees Tensions Escalate Again

No more than a week ago, the crisis in Ukraine began becoming less of a concern for the marketplace as it seemed as though cooler heads were going to prevail. Despite attempts at diplomatic resolutions to the crisis revolving around the southern Ukrainian region of Crimea, it seems as though all things are pointing towards some sort of armed conflict between Russia, Ukraine, and any number of potential other countries.

After the parliament of Crimea voted unanimously last week to rejoin the Russian Federation, the citizens of Crimea are scheduled to take part in a referendum this Sunday to see if they echo the sentiments of their parliament. At the present moment in time it seems as though the citizens of Crimea stand by their parliament and will want to see their homeland rejoin Russia after having been independent since the mid-1950s. Though with that being said, many Western leaders and the interim Ukrainian government seem to believe otherwise.

If the referendum goes as planned and sees Crimea legally voted back into control of Russia, there is no saying how Ukraine and its allies will respond. What we do know, however, is that the rising tensions are driving further interest in safe-haven gold and silver. As of Wednesday afternoon, spot gold is up over $20 and spot silver is up over a half dollar for the day. Only time will tell how the crisis in Ukraine will pan out and whether or not it will result in some sort of armed conflict.

Gold and silver are trading slightly up after conceding a lot of value on Tuesday. Sub-par US economic data in conjunction with an upbeat forecast for annual Chinese economic growth are working in gold and silver’s favor. With that being said, however, investor risk-appetite is undoubtedly on the rise today and is preventing precious metals from making too large of strides forward.

As we head into the latter stages of the week, investors will continue to keep an eye on the situation in Ukraine. Over the last few days, tensions between Ukraine, Russia, and the West have declined but are still quite high. With crisis talks scheduled to take place in Paris over the next few days, the overriding hope is cooler heads will prevail and that we can finally put this situation to rest.

February Jobs Data, Increased Chinese Growth Forecast

Though it seems like things are working in gold and silver’s favor today, gains as of noon were very small.

Earlier today, the non-farm payrolls data for February was released and came back slightly below market expectations. The market was expecting to see about 150,000 jobs added this past February, but the report showed that only about 139,000 jobs were added. Though this number is only slightly below what the market expected, it ended up being a bullish factor for precious metals, as is the case whenever non-farm payrolls come back below expectations. This is the third consecutive month in which payrolls came back below market expectations, and is rightfully beginning to worry some investors.

In other news from around the world, Chinese officials have stated that they expect their economy to grow by nearly 8% this year. In light of recently sub-par economic data from China, this upbeat of a forecast was definitely a surprise to some. Nonetheless, the increased growth forecast for China this year ended up being a bullish factor for gold and silver. It will be interesting to see if precious metals can build upon today’s small gains or if they will feel more pressure from outside factors such as continued risk-appetite.