Chinese Government's Restrictions on Bitcoin Gives Gold a Boost

GOLD

Gold rallied $20 this morning as the Chinese government puts heavy restrictions on the use of Bitcoin. That Chinese announcement took the price of Gold up to $1,892, before seeing some light profit taking. China has been adding large amounts of Gold to their reserves, in hopes of making the Yuan the major reserve currency, backed by Gold, within the next few years. At 11am PT today, Gold is trading at $1,880 per ounce, up $9 on strong volume.

SILVER

Silver didn’t react to the Chinese announcement or Gold’s $20 rally. Silver has been trading today above and below the key $28 level, with a high of $28.36 and a low of $27.56. Trading volume and physical demand for Silver remains high. At 11am PT today, Silver is down $0.40 per ounce, at $27.92.