Precious Metals Rally On New Trade Restrictions

GOLD

New U.S. Government restrictions on Chinese companies has put pressure on the equity markets, but precious metals rallied. Gold quickly moved to $1,507 before seeing light selling. Gold continues to trade above and below the key $1,500 resistance/support level. At 11am PT today, Gold is trading at $1,502 per ounce, up $9 on good volume.

SILVER

Silver reached a high of $17.80 on the Chinese news, and quickly dropped $0.12 on short-term profit taking and short-selling. The $17.50 level is still key to Silver’s support. At 11am PT today, Silver is up $0.23 per ounce, trading at $17.68 on excellent volume.