Gold Support Levels Tested as September Payrolls Increased

GOLD

This morning the U.S. Department of Labor reported that September non-farm payrolls increased by 263,000. This sizeable increase caused Gold to test its $1,700 per ounce support level, and Gold traded down to $1,690 before rallying back. The September numbers drove the unemployment rate down to 3.5% form 3.7% last month, not helpful to change the Feds current polices. Gold is now trading above and below the key $1,700 level. At 11am PT today, Gold is trading at $1,701 per ounce, down $11 on normal volume.

SILVER

Silver tested its support reaching a low of $20.09 as Gold sold off. The $20 per ounce level is a key support level for Silver. At 11am PT today, Silver is trading at $20.20 per ounce, down $0.42 on average volume.