Gold got off to a healthy start for the week today registering a $12.o5 gain to close at $1281.80 Similarly silver posted a 40¢ gain to close at $17.21. As mentioned in the Friday LATE REPORT, it seems the precious metals were simply interested in getting past some of the overhanging questions, i.e., Fed policy and personnel, federal government numbers, etc., before deciding a direction. It seems they leaned on “higher” once the Beltway smoke cleared and here we are. . . .The general instability in the Middle East is worth mentioning as the region is a long-standing market for the metals in physical form – particularly in the suddenly volatile Gulf oil states.
Quote of the Day
“It is beyond belief that we know so little about how people get rich or poor, about how it is they come to dwell in comfort and health or die in penury and disease. Financial markets are the machines in which much of human welfare is decided; yet we know more about how our car engines work than about how our global financial system functions. We lurch from crisis to crisis; so little is our knowledge that we resort not to science but to shamans.” – Benoit Mandelbrat, Mathematician
If you are a chart enthusiast, we have a couple pages at the USAGOLD website worth bookmarking. These charts are presented in conjunction with the St. Louis Federal Reserve (FRED) and update automatically through the magic of the internet.
Both pages are handy references used often to settle after-dinner disputes among family members about the direction of the economy and the gold market. [smile]