-- Posted Friday, 30 November 2012 | | Disqus
Gold Today –New York closed at $1,726.6 up over $7 on yesterday. This morning, Asian and London dealers continued to see a recovery into the mid $1.730 area. It was Fixed at $1,728.25 up nearly $4 on yesterday’s Fix. In the euro it was Fixed at €1,329.525 up nearly €2 down from yesterday while the euro was slightly stronger at €1: $1.2999. Ahead of New York’s opening, gold was almost the same at $1,729.55 and in the euro at €1,330.06.
Silver Today – Silver closed in New York at $34.20 then climbed to $34.29 in London. It then traded at $34.26, ahead of New York’s opening.
Gold (very short-term)
Gold is expected to consolidate narrowly, in New York today.
Silver (very short-term)
Silver is expected to consolidate narrowly, in New York today.
Price Drivers
Gold & Silver – The recovery of the gold price is now complete. It is back to where it was before the ‘bear raid’. Readers can now see just how that underlying tide of demand can dominate even the wildest surf on the shore of market prices. Waves can pull out as far as they like but cannot overwhelm that tide. We suggested that it was central bank buying that came in, in particular, but we have to add that Asian demand can see when a price is low too. Traders are wise not to fight the tide but to go with it as it will protect them if they do.
We also learn that the gold market does not revolve around either COMEX or the U.S. economy. These are short-term factors only. Even if the U.S. continues to see economic improvement this will not change except in the very short-term. Whether growth or recession lies ahead, the buying power of the U.S. dollar is the focal point of investors concerns and the reason they buy gold. That and the state of the monetary system, which is showing structural faults that are not being addressed. The gold price will continue to rise until these are put right. So if growth does take off apart from short-term pullbacks the trend will remain intact. [Subscribe to our newsletters at www.GoldForecaster.com and www.SilverForecaster.com]
The next episode of the ‘fiscal cliff’ drama was issued today with Republicans rejecting the plan of the Democrats. This sets the stage for the gloves to come off for both sides. We raise an eyebrow at talk that an early settlement of the issue well before year’s end. We expect the political game to be played to the full. All markets including gold and silver will be made volatile at as each chapter is read to the public and digested for them.
Meanwhile the Eurozone recession continues to deepen with Germany’s economy now expected to decline in 2013.
Silver – Silver is running forward now and should continue to do so.
Regards,
Julian D.W. Phillips for the Gold & Silver Forecasters
Global Gold Price (1 ounce) |
| Today | 3 days ago |
Franc | Sf1,603.12 | Sf1,598.49 |
US | $1,729.55 | $1,723.90 |
EU | 1,330.06 | €1,327.92 |
India | Rs.93,854.03 | Rs.94,495.58 |
-- Posted Friday, 30 November 2012 | Digg This Article
| Source: GoldSeek.com
