A Significant Move Higher
After being held down all summer, it appears PMs are ready to make a significant move higher, as we head into the seasonally strongest PHYSICAL buying period of the year.
Despite promises of ECB and Fed money printing, NOTHING has improved economically; to the contrary, things have only gotten worse, masked by August vacations and PPT support in ultra-thin equity markets sporting multi-year volume contractions, a product of massive investors outflows due to ongoing losses and fears of brokerage failures and HFT fraud.
Gold convincingly broke through its four-month chain at $1,630 this morning – closer to $1,640 as we speak – and silver its own line in the sand at $28/oz, with the KEY ROUND NUMBER of $30/oz now in the spotlight.
Get your rest this week and next, as September is coming very, VERY soon.
Andrew C. ("Ranting Andy") Hoffman, CFA
Miles Franklin Ltd.