GoldCore Precious Metals Market Update
Gold is trading at $933.50 and remains subdued overall. Near term resistance and support are currently $944 and $913 respectively. Direction may be poised to come from EUR/USD moves and the EUR/USD is maintaining equilibrium despite a positive world economic outlook from the OECD. This positive news is paired against continuing geo-political risk and negative USD comments overnight from a senior Chinese official. The Head of the Economics Department of the ruling Communist Party research office said that “The US is printing dollars on a massive scale, and in view of that trend, according to the laws of economics, there is no doubt that the dollar will fall. So gold should be a better choice”. Reuters reported his comments "If the yuan should go international or become a reserve currency, China needs more gold to back that." These comments are bullish of gold’s medium term prospects. Meanwhile in Europe, in a move to resuscitate the credit markets the ECB pumped a record €442.2bln into the Eurozone banking system in its first ever offer of unlimited one-year funds. This is also positive for gold in the medium term.
Silver is currently trading at $13.88 and resistance and support remain at $14.13 and $13.63.
Platinum trading at $1,173, Palladium at $ 234.00 and Rhodium at $1,225.00.