Gold And Silver Rally On A Positive CPI Report

GOLD

It was reported this morning that the Consumer Price Index rose 3.2% from a year ago in July, slightly below expectations. The monthly inflation increase came from shelter costs, which rose 0.4% and were up 7.7% from a year ago. The financial markets saw this as a positive report and the equity markets moved higher. Gold quickly rallied $10 per ounce on excellent volume. At 11am PT today, Gold is trading at $1,916 per ounce, unchanged from yesterday.

SILVER

Demand for Silver picked up after the July CPI report was released this morning. The Silver price briefly moved back above the $23 per ounce resistance level. At 11am PT today, Silver is up $0.04 per ounce, trading at $22.76 on excellent volume.