Daily Market Report 06/23/14

GOLD

Gold prices traded in a tight $9 per ounce high/low price range today, consolidating last week’s gains. There was some profit taking and technical chart purchases. At 11am PDT today, Gold is trading at $1,317 per ounce, up $2 per ounce on average volume.

Overnight, China announced that its HSBC preliminary manufacturing purchasing managers index came in at 50.8 in June versus 49.4 in May. This is the first time the reading has been above 50.0 this year. A reading above 50.0 suggests expansion. This news is a bullish underlying factor for the raw commodity sector, as China is the world’s largest importer of raw commodities.

SILVER

Silver tested the $21 per ounce resistance level this morning, hitting $20.97 per ounce before seeing some light selling and profit taking. At 11am PDT today, Silver is up $0.03, trading at $20.93 per ounce on normal volume.