Daily Market Report 5/3/13

GOLD

Gold reached $1,488 per ounce in Asia this morning before the U.S. Labor Department announced that the U.S. economy added 165,000 net new jobs and the unemployment rate dropped to 7.5%, its lowest level in more than five years. The financial markets feel that positive economic signs, like an improvement in employment numbers, would make the Federal Reserve less likely to continue its monetary stimulus. After the news was released, the Dow Jones and the U.S. Dollar rallied and Gold sold off. At 11am PDT today, Gold is down $3 per ounce, trading at $1,465 per ounce on average Friday volume.

SILVER

Silver has been above and below the important $24 per ounce support level all day. For me to become bullish I need to see it build a base above $24 per ounce. At 11am PDT today, Silver is trading at $24 per ounce, up $0.17 per ounce on light volume.