Silver Today – Silver closed at $21.54,in New York yesterday down 70 cents. Ahead of New York’s opening silver stoodat $21.70.

Gold_{(very short-term)}

The gold price isagain looking for a floor lower down, in New York today.

Silver_{(very short-term)}

The silver price isalso looking for a floor, in New York today.

PriceDrivers

Gold & Silver – The SPDR gold ETF saw sales on Friday of another2.48 tonnes. Until these sales halt the gold price will continue looking forsupport lower down. But there are dramatic developments in the gold marketwhich are definable actions telling us that turn is coming fast. [Subscribeto our newsletters at www.GoldForecaster.com andwww.SilverForecaster.com] 

Withthe Japanese Yen attracting so much attention because of the QE stimulus beingapplied that now, ‘coincidentally’ triggering a fall in the Yen to 102+ at themoment, little attention has been given to the Swiss Franc’s forced weakening.It now stands at 0.9677 against the dollar after falling from 0.934 of late.This confirms that the world’s ‘safe haven’ currencies are being forced weakerby their central banks and that competitive devaluations are alive and well.

Alittle more on India’s not allowing imports of gold except for gold that willbe manufactured into jewelry for exports. This is draconian in that India’s visiblesupply of gold will dry up, both as stocks run out and premiums rise. Perhapseven more dramatic will be the process that began as gold prices fell below$1,600. This was the evaporation of scrap sales as owners realized that thedemand for gold inside India’s borders was on the way to depletion. Smugglingis now burgeoning as the fruits of such grow. To us, what is of most interestis everybody in India is aware that smuggling will replace the banned importsover time. India over the last year imported around 1,000 tonnes, 35% of annualnewly-mined gold supplies. But with smuggling on the rise and no way ofrecording accurately the amount of gold that will be smuggled in, the only waywe are going to see any change in gold imports to India is through the behaviorof the gold price. We may also see a jump in silver imports as silver, couldbecome a good way to bypass the Rupee in paying for smuggled gold?

Silver – Silvercontinues to fall with gold, but last week we did see small sales of silverfrom the silver Exchange Traded Fund, the Silver Trust.

Regards,

Julian D.W. Phillips for the Gold & SilverForecasters

Global Gold & Silver Prices
	CAD	EUR	GPB	JPY	CHF	USD
Silver	23.26	17.62	14.89	2,324.04	21.92	22.69
Gold	1,419.68	1,075.26	908.48	141,810.02	1,337.65	1,384.85

-- Posted Monday, 20 May 2013 | Digg This Article