Daily Market Report 7/18/13

GOLD

Gold reached a low of $1,273 per ounce in Asia this morning. At that point bargain buying stepped in and took the price back above $1,280 per ounce. As the Gold price consolidates in the $1,270 to $1,300 per ounce area we are seeing excellent accumulation and demand particularly in the Asian markets.

At 11am PDT today, Gold is up $8 per ounce, trading at $1,286 per ounce on normal volume.

A Gold backed Chinese Yuan?

I just read an interesting article on the Chinese backing the Yuan with Gold to replace the U.S. Dollar as the world’s reference currency. Available for your review at: http://www.mintstategold.com/investor-education/cat/news/post/china_backs_yuan_with_gold/

SILVER

Today Silver traded in a tight $19.24 to $19.60 per ounce price range, on average volume. I am still disappointed in the recent performance of Silver, trading above the key $20 resistance level for five days in a row and not being able to close above or hold the price. Surprisingly, because we are in the summer months, physical demand for Silver investment products is still very strong in the U.S. and Asia.

At 11am PDT today, Silver is trading at $19.48 per ounce, up $0.04 on average volume.