Silver Mining Stock Rally Holds While Precious Metals Dip

GOLD

Fresh news reports from China this morning, that the U.S. and China are close to a trade deal caused the U.S. equity markets to rally and Gold/Silver to drop. Gold reached a low of $1,471 before finding professional traders short-covering from yesterday’s rally. At 11am PT today, Gold is trading at $1,474, down $5 per ounce on average volume.

SILVER

Silver reached a low of $16.74 as Gold was selling off. Silver rallied back to last Friday’s level as bargain buyers appeared. What is very positive for Silver price is how bullish the mining stocks are trading. Yesterday on a 1 ½ % increase in Silver, many of the major mining stocks rallied from 3% to 9%. Today, with Silver down 1 ¾% the stocks are virtually unchanged to higher. This is likely to be a harbinger of a higher Silver price by year-end. At 11am PT today, Silver is down $0.34 per ounce, trading at $16.85 on normal volume.