U.S. Economic Indicators Pointing Towards Increasing Interest Rates

GOLD

More strong U.S. economic indicators were released today. These indicators are reinforcing the Federal Reserve current policy of raising interest rates. The 10-Year U.S. Treasury raised above 4% today, which puts pressure on the precious metal markets. Gold reached a low of $1,640 before seeing sizeable buying in the major commodity markets. At 11am PT today, Gold is trading at $1,645 per ounce, down $26 on strong volume.

SILVER

Silver followed Gold lower, testing the key $18 per ounce support level. Today’s low for Silver was $18.06, and at that level I saw a lot of bargain buying. At 11am today, Silver is trading at $18.25, down $0.74 on excellent volume.