Gold Drops To $3,200 As Chinese Buyers Take A Holiday

GOLD

Chinese buyers are on the May Day holiday and the Gold price dropped, testing the $3,200 per ounce support level. Also, the US Labor Department reported today that people filing for unemployment benefits jumped by 18,000 last week. This is a recession indicator, which also put pressure on the Gold price.

At 11am PT today, Gold is trading at $3,216 per ounce, down $92 on average volume.

SILVER

Silver briefly broke below the $32 support level, reaching $31.61, before bouncing back. At the lows of the day, I saw sizeable fresh buying, which is a good indicator for a move back over $33 per ounce.

At 11am PT today, Silver is down $0.40 per ounce, trading at $32.34 per ounce.