Daily Market Report 2/7/13

GOLD

We saw some short term profit taking in Gold after hitting the $1,680 per ounce resistance level this morning. At 11am PDT today, Gold is trading at $1,671, down $5 per ounce on average trading volume.

CHINA IMPORTS 834.5 METRIC TONS OF GOLD IN 2012, AN ALL TIME RECORD HIGH

It was announced today that Mainland China imported a whopping 834.5 metric tons of Gold in 2012. This compared to 431.2 metric tons in 2011, based on data from the Census and Statistics Department of the Hong Kong government. Imports in December 2012 rose to a monthly record high of 114.4 metric tons of Gold.China also produced the most Gold in the world in 2012, making it the largest producer for the sixth straight year, latest industry association data showed. China’s Gold output increased 11.66 percent from a year earlier to hit a record high of 403.05 tonnes in 2012.

VIRGINIA WANTS TO ISSUE ITS OWN CURRENCY

The Virginia State House voted 65-32 earlier this week to approve the measure that would establish its state currency and four other states are considering a similar idea. While it’s unlikely that Virginia will be printing its own money any time soon, the move sheds light on the growing distrust surrounding the nation’s central bank. Virginia Republican Del. Robert Marshall told Fox News on February 5, 2013 that his bill calls for creation of a 10-member commission that would determine the “need, means and schedule for establishing a metallic-based monetary unit.” Essentially, he wants to spend $20,000 on a study that could call for the state to return to a Gold standard.

For more information, please read the complete article here: http://www.mintstateGold.com/investor-education/virginia_pushes_for_own_currency/  

SILVER

Although the Silver price has been trading in a narrow range between $31 and $32 per ounce, physical demand for Silver bullion investment products as remains robust. The US Mint and Royal Canadian Mint are on allocation for Silver coins meaning that they have to restrict the amount of coins they can offer their distributors in a given week. At 11am PDT today, Silver is trading at $31.45 per ounce, down $0.37 per ounce on average volume.