Strong Dollars puts Gold & Silver Rally on Hold

CLICK HERE FOR NEW Morgan Silver Dollars

CLICK HERE FOR NEW Peace Silver Dollars

CLICK HERE FOR NEW $20 Gold Saint Gaudens

	Is It A Good Time To buy Gold Since It Has Declined By 20% From Peak Levels?
	The economic recovery after the pandemic, vaccination programs around the world and an increase in bond yields have led to the decline in prices . . . . Amitabh Tiwari
	India’s Imports Hit A 21-Month High Amid Robust Retail Demand
	Indian official imports hit a 21-month high and the local market premium further strengthened. . . .Mukesh Kumar
	The Commodities Rally: You Ain’t Seen Nothing Yet
	Goldman Sachs says the sector is a great investment going forward, as prices will keep rising, up 15.5% for the next 12 months . . . . The Investment Officer
	Gold Price Is Back On The Field
	Gold is back on investors' radar as prices look to end the week on a strong technical note. . . . Anna Golubova

Last week, we saw a report showing a decrease of over 100,000 in U.S. unemployment claims. This report of U.S. economic improvement gave strength to the U.S. Dollar Index, reaching a high of 92.83, another 2021 high. This news kept Gold on the defensive all week, closing between $1,725 to $1,738 all week. Gold closed on Friday at $1,732, down $9.40 for the week.

The strength of the U.S. Dollar Index is caused by a combination of worsening reports from European countries about the Covid-19 restrictions while we are seeing improvement in the U.S. The feeling is our economy is most likely to recover quicker than Europe. I believe Gold could reach a low of $1,700 per ounce if the U.S. Dollar Index breaks 93 and if the 10-Year Treasuries move back above 1.70%. However, that move should be the final leg in the current sell-off.

We are seeing substantial increases in Gold demand in European and Asian countries. This is due to a stronger U.S. Dollar which is a great benefit for Asian and European buyers, as they are able to purchase Gold, in their currency, at a bargain price. That demand is keeping premiums high on many of the popular newly minted bullion coins, while many of the larger world mints are back ordered on deliveries.

Today: This morning, Gold reached a low of $1,705 as the Dollar reached 92.96, another 2021 high. 10-Year interest rates also rallied back above 1.70% today. Both increases are putting pressure on all precious metal prices, giving investors an extraordinary opportunity to add to their holdings.

Last week, Silver broke down below the key $26 per ounce level, closing the week at $25.10, down $1.21 for the week. Silver reached a low of $24.41 last Thursday before finding serious bargain buying in Asian markets. The Silver-to-Gold ratio moved to 69-to-1. I’m still recommending increasing your Silver holdings.

Today: Silver took price direction from Gold and the raise in U.S. Dollar Index and 10-Year Treasury bills and reached a low of $24.44 per ounce. Every time we see Silver under $25 per ounce, the Asian and European demand increases dramatically.