Daily Market Report 11/21/12

GOLD 

Gold rallied this morning in spite of a stronger U.S. Dollar after European finance ministers failed to agree on a debt-reduction package for Greece. They are meeting again on Monday to work out details on a Greek bailout. At 11am PDT Today, Gold is up $3.70, trading at $1,729.50 per ounce on light weekend type volume.

Data on the International Monetary Fund’s website shows Brazil, Kazakhstan and Russia added to Gold reserves last month. Some of this demand was caused by the continued conflict in the Middle East. According to IMF data, Brazil added 17.2 tons to bullion reserves last month, Kazakhstan expanded by 7.5 tons and Russia bought 0.4 tons.

SILVER

Silver is higher on continued optimism over a Congressional settlement of the Fiscal Cliff issues, as many Republicans are being quoted in the press of agreeing that revenues need to be increased. What is interesting is that they are not saying tax rates need to be increased, just revenues need to be increased. At 11am PDT today, Silver is trading at $33.32 per ounce, up $0.24 per ounce on light volume.