Gold And Silver Both Benefit On Stimulus Bill News

GOLD

After an agreement was reached on the $908 billion stimulus bill was announced last night Gold rallied. In Asian trading, Gold reached a high of $1,906 per ounce. However, as the Gold market rolled into Europe the U.S. dollar started to rally and Gold quickly sold off. The dollar rallied because of a new coronavirus variant in England, which is feared to be much more dangerous. This caused the euro to fall and the dollar to rally, driving the price of Gold down to a low of $1,852 per ounce. Gold quickly rallied back to unchanged on bargain buying. At 11 am PT today, Gold is trading at $1,880 per ounce, down $2 on excellent volume.

SILVER

Silver did benefit more this morning from the stimulus bill, first reaching $27.50 per ounce on massive buying in Asian. Then, when the Gold price got hit in Europe, Silver fell to $25.50. Silver did rally back with gold as the markets moved into the U.S. We are seeing much more volatility in the Silver price movements compared to Gold and that should continue for a while. At 11 am PT today, silver is up $0.35 per ounce, trading at $26.20 on excellent volume.