Daily Market Update 11/08/11

GOLD

Yesterday Gold hit $1,799.30 before closing at $1791 in the afternoon. Late last night gold corrected to $1,784 before sizeable buying appeared. Today we see gold reaching $1,804 before seeing resistance. Now at 11am PDT gold is at $1,794.30, up $3 per ounce on very active trading.

China imported a record 56.9 metric tons in September, a six-fold increase from 2010. Monthly gold imports for most of 2010 and this year run at about 10 metric tons, but buying jumped in July, August and September. In the three-month period, China imported from Hong Kong about 140 metric tons, more than the roughly 120 metric tons for the whole 2010.

SILVER

Silver has been trading above the important $35 level most of the day, reaching $35.45 per ounce at one point. At 11am PDT, Silver is at $35.11 per ounce, up $0.11 per ounce on excellent volume. Demand continues to be very strong in Asia because of the festivals and holidays as well as the very attractive price.