Silver price: US mint moves to Weekly Allocation of coins

The price of silver has been trading in a tight range so far in today’s trading session, while the US Mint has updated traders on the sales of American Silver Eagle coins.

Silver for immediate delivery had gained 0.14 percent, or two cents, to $16.26 as of 06:45 GMT, and was trading over four percent below its 50-day simple moving average of $16.96. It has seen little change so far this week. Should silver end in positive territory on a weekly basis it would mark the first run of two consecutive intraweek gains since July.

The US Mint has now moved to “Weekly Allocation” of its American Eagle silver coins, said Michael White, a spokesman for the Washington-based agency, in an interview with Silver Seek. Sales for the precious metal coins resumed on Monday after the agency ran out of them earlier this month. Silver price near four-year low as US mint runs out of coins According to White this week’s allocation to authorized dealers was 1,525,000 coins, with only 214,500 remaining after Tuesday, bringing the total amount of sales for November to 2,570,500.

When asked whether “Weekly Allocation” would continue until the end of the year White said that the he only knew what the agency was going to do on a week-to-week basis. The spokesman also admitted that he was not aware when production of the 2014 coins was going to cease nor the start date for the 2015 edition.

The price of silver for December delivery was virtually unchanged, gaining about half a cent to $16.26 as of 07:01 GMT on the COMEX in New York. According to a report from Scotiabank, support was at the nine day simple moving average ($15.97) for a second straight session, while resistance on a closing basis was at the 21 day SMA ($16.23). “Bearish technicals continue to moderate, as we note the recent softening in both momentum and trend.”

Based on the most actively traded COMEX contracts, those for December delivery, with a total volume of trade in gold and silver at 21,084 contracts as of 07:01 GMT today, the gold:silver ratio was at 73.34, down 0.3 percent from yesterday’s 73.56 close.