Silver Market Morning
Gold Today –New York closed at $1,736.50. Asia and London held it close to that level at $1,734.65. The euro is still rising at rose in London’s morning to €1: $1.2781. The gold price was Fixed at $1,732.75 and in the euro at €1,355.087. Ahead of New York’s opening gold stood at $1,733.10 and in the euro at €1,355.79.
Silver Today – Silver continued to rise to up from New York’s $33.65 up a dollar to trade ahead of the Fix at $33.76 in London and looking firm. Ahead of New York’s opening it stood at $33.67 one dollar higher than at the same time on Friday.
Gold (very short-term)
Gold should consolidate with a stronger bias, today in New York.
Silver (very short-term)
Silver should hold steady but with a stronger bias, today in New York.
Gold & Silver –Another week and the gloss of last week is waning politically in the Eurozone. On the financial front the euro continues strong, now challenging the $1.28 level. The financial system feels safe in the arms of Draghi head of the E.C.B. but Wednesday may see a pullback in the euro if the German Constitutional Court stops the German government from backing the Eurozone rescue fund. Most think it will agree to the fund, but ‘there’s many a slip between cup and lip’. Greece’s political fight over more austerity measures may be the final straw. But we perceive that Greece will not leave the Eurozone but have to be made to leave if it is going to leave. That’s not on the table yet. For gold investor’s what is of the utmost importance is not what happens in the Eurozone or to the euro but how gold would react to a falling euro. We have seen it rise against the euro while traders and dealers keep trying to move it on a day-to-day basis with the euro against the dollar. But in the event of a fracture in the Eurozone financial crisis investors must decide if they feel gold will fall with the euro or rise against it? Despite the rising level of the euro, confidence levels in that currency remain very low!
Chinese demand for gold has jumped in the last months to the extent that what was expected from Indian demand has been replaced by Chinese demand.
Silver – Silver continues to exhibit a strength that one finds in a boxer fighting on the front foot. We feel that everything for silver is in place. We have only one note of caution. Silver will continue to move with gold following it up and down. This has been its pattern for several years now and we see no reason why this should not continue.
Julian D.W. Phillips for the Gold & Silver Forecasters
Global Gold Price (1 ounce)
1 day ago