Daily Market Report 7/15/13

GOLD

In a report to the House of Representatives Financial Services Committee the Federal Reserve Chairman Ben Bernanke said that the central bank anticipates the beginning of tapering bond purchases later this year. That policy will remain accommodative and could change depending on the incoming economic data. The Fed Chairman also said, "With unemployment still high and declining only gradually, and with inflation running below the Committee’s longer-run objective, a highly accommodative monetary policy will remain appropriate for the foreseeable future." The Gold market took this as a bearish report and immediately sold off about $14 per ounce.

Today Gold did break above the key $1,300 per ounce resistance level for a short time, reaching $1,302.00, before selling off based on Bernanke’s testimony.

At 11am PDT today, Gold is trading at $1,278 per ounce, down $13 on normal volume.

U.S. Gold coins showing increases in premium

Both demand and premiums for uncirculated U.S. $10 and $20 Gold Liberties, Indians and Saint Gaudens have moved higher in the past two weeks based on shortages in supply.

SILVER

Today was the fifth day in a row that Silver moved above the key $20 per ounce resistance level and couldn’t hold. Then after Chairman Bernanke’s testimony Silver sold off with Gold, reaching $19.20 per ounce.

At 11am PDT today, Silver is down $0.60 per ounce, trading at $19.44 per ounce.