Wednesday, 5 December 2012

Gold & Silver Market Morning

By: Julian D. W. Phillips, Gold/Silver Forecaster - Global Watch - GoldForecaster.com



-- Posted Monday, 3 December 2012 | Share this article | Source: GoldSeek.com

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Gold Today –New York closed at $1,713.20 on Friday. This morning, Asian and London dealers lifted the gold price to $1.719.50. It was Fixed at $1,718.00 down on Friday’s p.m. Fix but up from New York’s lows then. In the euro it was Fixed at €1,317.586 down €12, while the euro was slightly stronger at €1: $1.3026. Ahead of New York’s opening, gold was almost the same as Friday morning’s level at $1,729.55 and in the euro at €1,327.67.

Silver Today – Silver closed in New York at $33.37 on Friday. In Asia and London’s start to the week, silver opened at $33.63 then slipped to $33.50 in London. It then traded at $33.50, ahead of New York’s opening.

Gold (very short-term)

Gold is expected to consolidate with a positive bias, in New York today.

Silver (very short-term)

Silver is expected to consolidate with a positive bias, in New York today.

Price Drivers
Gold & Silver – With the Technical picture still favoring the downside, traders and speculators in New York tried to push gold and silver prices down and succeeded in taking it to $1,713.21 a low higher than the previous couple of days at $1,705. So now we are in the consolidation phase again with a pennant shape forming. As this narrows so we must again prepare ourselves for a strong move, either way likely later in the week.

As Cyprus asks for a bailout this week, we see the Eurozone debt crisis continue. They need a bailout because the losses they suffered on their buying of Greek bonds and the haircut they had to take when the value of these dropped 75%. This domino effect will continue, exacerbated by the deepening recession in Europe making sure that this problem will not go away. The failure of the E.U. to stimulate growth effectively tells us that the crisis has years to run, at least.

Over in the States the harsh political structural realities point to a major confrontation pushing through to the last moment towards the brink of the ‘fiscal cliff’. Its votes that count not financial common sense!  [Subscribe to our newsletters at www.GoldForecaster.com and www.SilverForecaster.com]

Silver – Silver’s fundamentals are looking very good indeed. With demand rising in the face of global economic growth and even in recession-bound Europe and investment demand solid in the face of the decaying developed world monetary system the prospects for silver in 2013 look good any which way you look at it. With costs of producing an ounce still a small percentage of the price, pure silver mining and silver/gold mining shares that pay dividends, look to lead the pack in 2013.

Regards,

Julian D.W. Phillips for the Gold & Silver Forecasters

Global Gold Price (1 ounce)

Today
3 days ago
Franc
Sf1,601.04
Sf1,603.12
US
$1,729.55
$1,729.55
EU
1,327.67
€1,330.06
India
Rs.94,701.51
Rs.93,845.03


-- Posted Monday, 3 December 2012 | Digg This Article | Source: GoldSeek.com

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