Precious Metals Rally

GOLD

Strong Central Bank demand for Gold in January helped Gold rally today, reaching a high of $1,585 in U.S. commodity markets. Gold is back on track to reach the important $1,600 resistance level by month end. At 11am PT today, Gold is trading at $1,584 per ounce, up $8 on good volume.

SILVER

The Silver price rallied with Gold this morning, reaching a high of $17.79 before seeing short-term profit taking. When Gold breaks the $1,600 level, I would expect to see Silver crash through the $18 per ounce barrier. At 11am PT today, Silver is up $0.11 per ounce, trading at $17.77 on normal volume.