Gold Today –New York gold closed at $1,654.40 up $17.10 on the day. Asia and London took it higher to $1,666.73 with the euro 92 points stronger at €1: $1.2567. This is gold running up against all currencies but with the euro now. Gold was Fixed in London at $1,662.50 and in the euro it was Fixed at €1,324.068 up €8 on yesterday’s Fix. After the Fix and just ahead of New York’s opening, gold pulled back to $1,658.70 in the middle and in the euro to €1,321.57.
Silver Today – Silver in New York closed at $29.83 up 55 cents after which London took it to $30.49. Silver continues aggressively strong. Just ahead of New York’s opening it stood at $30.25.
Gold (very short-term)
Gold may well show a weaker bias, today in New York.
Silver (very short-term)
Silver may well show a weaker bias, today in New York.
Price Drivers
Gold & Silver –Gold and silver just brushed aside resistance in moves more indicative of the opening of the ‘gold season’ than specific macro economic news. With professionals either short or insufficiently long, the rises themselves are triggering the closing of positions and the opening of trader’s long positions. It’s a case of the waves following the flowing tide now.
As the slow motion Eurozone crisis wends its way, we are seeing Germany becoming intransigent and Greece becoming desperate. But more borrowing when your income continues to fall despite doing everything you can doesn’t help in the slightest. But now there is a feeling that plans are now in position to contain the collateral damage. The political agenda on both sides of the Atlantic points to the end of the second week as holding great significance for the developed world’s financial markets.
We are expecting the next six months to produce significant structural changes in the world of finance that will positively affect gold and silver! [To follow our weekly commentary, please subscribe to our newsletters at www.GoldForecaster.com and www.SilverForecaster.com]
Silver - Silver is now humming as it quickly reclaims lost ground in the $30 plus area. Silver has been building up to this for a long time. Even the shape of professional demand tells us that trader’s short positions are under stress now. Bear in mind that the nature of the demand for silver is supportive of ongoing demand even in a downturn. As we have seen it’s one of those items that does well in a bad market. So in a good market….?
Regards,
Julian D.W. Phillips for the Gold & Silver Forecasters
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