Gold Today In New York the gold price pulled back $18 to $1,667.70. In Asia the gold price started to consolidate and held there. Then in Londons morning it tried to climb over $1,670 again where it Fixed at $1,670.25 and in the euro at 1,243.693 down 15. The euro strengthened to 1: $1.3460 up 1.3 cents in the euro. Ahead of New Yorks opening, gold was $1,669.10 and in the euro at 1,240.32.
Silver Today Silver closed strong in New York at $31.66. Ahead of New Yorks opening silver stood at $31.69.
Gold (very short-term)
After the fall yesterday we should see gold consolidate, in New York today.
Silver (very short-term)
After the fall yesterday we should see silver consolidate, in New York today.
Gold & Silver Right now Federal Reserve Chairman Ben S. Bernankes unprecedented bond buying has pushed the Feds balance sheet to a record $3 trillion [the same a Chinas reserves]. And the economy there is not taking off. There has to be a point, terrifying though it is, when the central bank has to say we can only do so much, government and business is responsible to start the engine of growth. With government suffering from a hormone failure and business very aware that caution is still the way forward because so many factors out of their control could squash their efforts once they start to expand a common consequence now seen is hold back. Uncertainty followed by an unstable economy is the result. Then with the sword of Damocles waiting to strike in the form of rising interest rates the wise are waiting. We are certain that the Fed thought he would have more support from the two, but it isnt coming and may not come for a long time.
This is not very good for a rising gold price despite gold usually thriving in uncertainty. This time round the caution is with the investor too, also unclear on the way forward. A growing economy would be better for gold and silver, because investors would be freer to translate the uncertainty into buying gold. [Subscribe to our newsletters at www.GoldForecaster.com and www.SilverForecaster.com]. We do see another financial crisis building up in the developed world but not as a result of a simple asset bubble. We are with interest rates where we would have been at the start of a bull equity market with interest rates and have been for years now to no avail. In a healthy economy growth would have been roaring and the economy able to take rising interest rates, but not this time round!
Silver The pullback in silver goes is again far larger than we see in gold, but that is the ongoing shape of the silver price. Should it turn upwards it will run further and faster than gold too.
Julian D.W. Phillips for the Gold & Silver Forecasters
Global Gold Price (1 ounce)
3 days ago