On Tuesday, gold (NYSEARCA:GLD) futures for April delivery, the most active contract, gained $13.70 to close at $1,591.70 per ounce, while silver (NYSEARCA:SLV) futures for May increased 32 cents to finish at $29.17.
Both precious metals climbed higher as European Central Bank Governing Council member and Deutsche Bundesbank President Jens Weidmann reminded investors that the euro crisis is not over.
In a press release along with the Bundesbank’s annual results, he also made the case that deflation is still a risk, which hints that central bank intervention is here to stay for awhile. Weidmann explains, “In the short term, we in the euro area have, if anything, declining inflation risks.”
In afternoon trading, the SPDR Gold Trust (NYSEARCA:GLD) gained 0.80 percent, while the iShares Silver Trust (NYSEARCA:SLV) increased 0.85 percent. Gold miners (NYSEARCA:GDX) such as Yamana Gold (NYSE:AUY) and Goldcorp (NYSE:GG) jumped 3.1 percent and 2.6, respectively. Meanwhile, Endeavour Silver (NYSE:EXK) surged more than 12 percent after announcing that net earnings for fiscal 2012 increased 124 percent to $42.1 million, compared to $18.8 million a year earlier.
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