Daily Market Report 11/11/13

GOLD

Because of the Veteran’s Day holiday, trading is very thin in the U.S. Gold has traded in a very narrow $9 per ounce price range, from $1,279.60 on the low to $1,288.60 on the high. At one point, Gold tested the $1,280 support level and quickly rallied back above on light volume. At 11am PDT Today, Gold is trading at $1,283 per ounce, down $3 per ounce on light volume.

A state-of-the-art Gold vault just opened in Shanghai this month. This vault is capable of storing 2,000 metric tons; double China’s projected consumption for this year. The owner of this vault is Malca-Amit Global Ltd., who seeks to benefit from rising demand in Asia’s largest economy. In a recent interview with Joshua Rotbart, the precious metals general manager, he said this facility is the biggest for the Hong Kong-based company and it can also store diamonds, jewelry, and art. Bloomberg calculations show the site could hold bullion worth about $82.7 billion at today’s price, and the World Gold Council forecasts China’s total demand may reach 1,000 tons in 2013.

SILVER

Silver also traded in a narrow price range today, only $0.28 per ounce on light volume. Silver continues to trade in the mid-$21 per ounce level awaiting direction from the Gold market. At 11am PDT today, Silver is trading down $0.02 per ounce, at $21.38 per ounce on light holiday volume.