Passage of $1.9 Trillion Stimulus Should Be Good For Precious Metals

GOLD

Gold reached a low of $1,708 in Asian and early European trading, then rallied back to $10 on fresh buying. As the Gold market rolled into the U.S. it showed excellent demand and moved above $1,720. Like I said yesterday, it is important that the Gold price stays above the $1,700 resistance/support level this week to end the recent decline. At 11am PT today, Gold is trading at $1,723 per ounce, up $3 on excellent volume.

SILVER

Silver has been trading today above and below the important $26 level. With the passage of the $1.9 trillion Covid-19 relief legislation, it should create more demand for Silver, as any massive economic stimulus measure will lead to an inflation cycle. At 11am PT today, Silver is trading at $26.12 per ounce, up $0.02 on active trading volume.