Weekly Market Report

Last week was a very good opportunity for Gold buyers to come in, with Gold dropping $25 per ounce based on four major factors . . . .

Gold ended its short-term bearish decline last week, rallying $40 per ounce for the week. Gold closed last Friday at $1,353.20 per ounce, above the key $1,350 support level . . . .

In my article from 4 months ago about gold versus bond yields, I concluded that gold would reach $1330-1350 from the $1280 level at the time of writing the analysis. So where do we go from here? . . . .

Last Friday, with interest rates and the U.S. Dollar rising, the financial markets started to react negatively, and the Nunes memo gave the markets the momentum to drive the Dow Jones down 665 points and caused Gold to drop $10 per ounce . . . .

Yesterday, the President’s comments left all the currency traders and the Gold traders scratching their heads. The price of Gold was enjoying a healthy sustained rally after the Treasury Secretary Steve Mnuchin indicated that a weak dollar was in the best interests of our economy . . . .

Stocks have now opened the year up 6%.  Global interest rates are on the move, with the U.S. 2-year Treasury trading above 2% for the first time since 2008.  Oil is trading in the mid $60s.  And base metals are trading toward the highest levels of the young, two-year bull market in commodities . . . .

2018 has started with a bang for precious metal investors. Looking back through 2012, January has been an excellent month for the Gold price . . . .

After closing 2017 at $1,306.30 per ounce, up $156 (13.5%) for the year, Gold continued the rally into 2018. Last week, the first week of the new year, trading volume increased and the Gold price stayed above the important $1,300 per ounce long-term support level . . . .

The US dollar weakened across the board after the release of the US employment report and pushed gold to the upside. The metal rose $6 in a few seconds, from $1316/oz to $1323 to test daily highs . . . .

What a great year-end rally for Gold! During December, Gold rallied from a 5-month low of $1,235 on Dec. 12 to close the year at $1,306.30 on Friday Dec. 29 . . . .