Gold Trying To Build A Firm Base For Next Break-Out

GOLD

The Consumer Price Index for February was released this morning and it showed a slowing of inflation. That news caused both the 10-Year Treasury rate and the U.S. Dollar Index to decline. This helps firm up Gold’s demand and price, as it continues to stay above the key $1,700 support level. Today, Gold has traded between $1,718 and $1,740 per ounce, as it builds a firm base to break above the $1,750 level. At 11am PT today, Gold is up $4 per ounce, trading at $1,727 on good volume.

SILVER

Silver is having a little more difficulty staying above the key $26 level. Silver hit a low of $25.79 in Asian trading, before finding bargain buyers. Demand is good, but very price sensitive in Asian markets. Physical supplies remain short and premiums on the popular Silver investment items haven’t dropped. At 11am PT today, Silver is trading at $26.15 per ounce, up $0.05 on excellent volume.