On Wednesday, gold (NYSEARCA:GLD) futures for August delivery, the most active contract, gained $12.10 to close at $1,391.80 per ounce, while silver (NYSEARCA:SLV) futures for July increased 26 cents to finish at $22.45.
Both precious metals climbed higher as the Dow Jones Industrial Average and S&P 500 both retreated from their record highs. The U.S. dollar also edged lower during the trading day.
The Organization for Economic Cooperation and Development made the case for continuing central bank easing. The organization believes the gross domestic product of its 34 member nations will expand by only 1.2 percent this year, down from the 1.4 percent forecast made last November.
“Monetary policy will continue to bear most responsibility for supporting activity, including through unconventional measures,” explained OECD chief economist Pier Carlo Padoan.
In afternoon trading, the SPDR Gold Trust (NYSEARCA:GLD) gained nearly 1 percent, while the iShares Silver Trust (NYSEARCA:SLV) increased 0.80 percent. Gold miners (NYSEARCA:GDX) such as Yamana Gold (NYSE:AUY) and Newmont Mining (NYSE:NEM) both jumped more than 2 percent. Shares of Hecla Mining (NYSE:HL) surged more than 9 percent.
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Disclosure: Long EXK, AG, HL, PHYS