Gold Moving Above $3,400 On A Weaker U.S. Dollar

GOLD

A weaker U.S. Dollar combined with the two neutral U.S. economic reports sent gold above the key $3,400 resistance level during late London trading and on U.S. Markets. The Second-quarter U.S. Gross Domestic Product indicated the economy grew 3.3, and the Initial claims for state unemployment benefits came in at seasonally adjusted 229,000 for the week ending August 23.

At 11am PT today, Gold is trading at $3,412 per ounce, up $19 on excellent volume.

SILVER

Silver followed gold higher this morning, reaching a high of $39.17, before seeing some light profit-taking. Staying above $39 price level is important as it provides support the next move to the key $40 per ounce level.

At 11am PT today, Silver is up $0.56 per ounce, at $39.08 on excellent volume.