Metal Prices October 2012

In a rather sharp contrast to the past several months metals have fallen and the dollar has risen in value.

For the month of October (Sept 23-Nov 7) the US Dollar Index has risen around 1%

Silver is down about 6%

Gold is down 3.6%

Copper is down 6.7%

A general rule of thumb is, if the dollar rises the price of commodities fall. In our current economic climate, without knowing the full extent that QE-3 will have and the wild market fluctuations after the presidential election, it is difficult to know what November will look like.

The fundamentals of Americas mixed-economy (part free, part government managed), have kept the prices of many goods either artificially high or artificially low which, no doubt, will keep stability at arms length.