Gold Rallies After Powell's Announcement

GOLD

This morning, while Gold was trading at $1,790 per ounce, Federal Reserve chairman Powell addressed the Jackson Hole economic conference. Powell signaled the U.S. central bank will remain patient and repeated that he wants to avoid chasing “transitory” inflation and potentially discouraging job growth in the process. Well, after that statement, the U.S. Dollar Index and the 10-year Treasury rates dropped, and Gold started to rally. Gold broke above the key $1,800 level and kept on going to $1,819 per ounce before seeing some light short-term profit taking. At 11am PT Today, Gold is up $24 per ounce, trading at $1,817 on excellent volume.

SILVER

Silver followed Gold higher this morning. Silver had a difficult time breaking above $24 per ounce, but eventually did. Silver reached a high of $24.18 before seeing some light selling. After reaching a low of $22.28 on August 8th, breaking the $24 resistance level is very bullish, if it can hold it next week. At 11am PT Today, Silver is trading at $24.05 per ounce, up $0.52 per ounce on excellent volume.