CPI Continues To Rise, But It Doesn't Affect Gold

GOLD

Today, it was reported that the US Consumer Price Index (CPI) rose in February 0.4%, and the annual rate slowed down from 6.4% in January to 6.0%; both matched market consensus. The Core CPI rose 0.5% from the previous month, slightly above the 0.4% expected; and the annual Core rate rose 5.5% from the previous year, below the 5.6% of the previous month.
The Gold price didn’t react to the CPI number because the number was anticipated. Gold trading appears to be building a strong base above key $1,900 resistance/support level. That base would be an great platform for the next leg higher, $1,950 and then $2,000 within the next few months. At 11am PT today, Gold is trading at $1,909 per ounce, down $2 on excellent volume

SILVER

Silver is doing better than Gold today, reaching a high of $22.07 and sending the day trading above and below the key $22 level. A little consolidation would be excellent for the Silver price after the recent $1.75 rally. At 11am PT today, Silver is trading at $21.96, up $0.16 on excellent volume.