Mixed finish for bullions

Gold slips but silver shines

Bullion prices ended mixed on Tuesday, 17 June 2014 at Comex. Gold prices ended the U.S. day session modestly lower on some profit taking after hitting a three-week high on Monday. Silver prices ended higher. Gold fell as concerns abated slightly about tensions in Iraq, weighing on the flight to safe-haven assets.

Gold for August delivery fell $3.30, or 0.3%, to settle at $1,272.00 an ounce on the Comex division of the New York Mercantile Exchange.

July silver rose 2 cents, or 0.1%, to end at $19.73 an ounce.

Gold prices extended early losses in the immediate aftermath of a monthly U.S. inflation report released early Tuesday morning. The consumer price index was up 0.4% in May, and up 2.1% from May of last year. The gold selling was based upon ideas the CPI figure would embolden the Federal Reserve to continue on its path of tapering its quantitative easing of monetary policy.. The civil war in Iraq remained on the front burner of the market place on Tuesday. The situation there has not improved this week.And the Russia-Ukraine tensions are still running high as Russia has cut the natural gas supply to Ukraine and said it will supply natural gas to Ukraine only if paid for in advance. These two geopolitical flashpoints will continue to be very closely monitored for new developments. Crude oil prices are at or near multi-month highs, while U.S. Treasuries are also supported on the more unsettled geopolitical front. The big economic data point of the week is the U.S. Federal Reserve Open Market Committee meeting that began Tuesday morning and ends Wednesday afternoon, including a press briefing following the meeting by Fed Chair Janet Yellen. Most traders expect the FOMC to continue to taper its monthly bond-buying program, also called quantitative easing. As usual, the FOMC statement and Yellen's comments at her press conference will be parsed for clues on future action coming from the FOMC.

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