GoldCore Update: Gold’s Technicals Improved as Markets Await US Jobs Report

Gold
Gold had a strong run in London and the US rising to $1,144.85/oz before falling back slightly to close up 0.55% in US trading. It has dropped as low as $1,132.00/oz in Asian trading this morning before bouncing somewhat. Gold is currently trading at $1,138.00/oz and in euro and GBP terms, gold is trading at €833/oz and £756/oz respectively – near recent nominal highs in both currencies.

Gold’s technical situation has improved markedly and the downward trend of recent weeks may have reversed. However, a close above $1,160/oz will be needed of gold it to again challenge its recent dollar high of $1,226.60/oz. A renewed bout of dollar weakness would likely see gold surge to new record highs. A close below $1,130/oz could see quickly fall back to support at $1,110/oz.

Markets remain cautious and gold is threading water in anticipation of the ECB interest rate decisions and US jobs data. The Federal Reserve announcing that recovery in the world’s largest economy would be slow and ‘modest’ also contributed to cautious sentiment as it could mean that the jobs data later will be weaker than expected. Gold may remain subdued until the jobs data is recently when the volatile trading seen after recent jobs data may be seen again.

The European Central Bank is expected hold its interest rates unchanged for another month and may announce new measures related to gradual exit from monetary stimulus. ECB President Jean-Claude Trichet is widely expected to hold the key interest rate at a record low of 1% for a tenth consecutive month which could see the euro fall further versus the dollar and gold.

UK house prices unexpectedly fell 1.5 percent in February, the first drop since June last year. The decline followed a downwardly revised 0.4 percent rise in January. The fall in UK house prices surprised market participants and will make the Bank of England monetary policy more difficult. While sterling remains embattled and there is a need for higher interest rates to protect sterling from further falls, the Bank of England is constrained fearing further falls in property prices. A similar ‘catch 22’ faces many economies internationally and is leading to continuing safe haven demand for gold.

Silver
Silver dipped to $17.04/oz in Asia before jumping to $17.18/oz. Silver is currently trading at $17.17/oz, €12.56/oz and £11.40/oz.

Platinum Group Metals
Platinum is trading at $1,573/oz and palladium is currently trading at $450/oz. Rhodium is at $2,575/oz.

News
-Oil prices rose above $81 a barrel in Asian trade today before falling back; oil over $80 a barrel is contributing to firmer gold prices. New York’s main contract, light sweet crude for delivery in April, was down 31 cents to $80.56 a barrel after earlier hitting an intra-day high of $81.01. The contract had surged $1.19 in US trade yesterday. London’s Brent North Sea crude for April shed 19 cents to $79.06 a barrel after climbing $1.07 dollars yesterday.

-Greece says it is prepared to turn to the IMF if its EU neighbours do not come up with aid after it announced tough austerity measures. Greek Prime Minister, George Papandreou, is to meet the German chancellor Angela Merkel in Berlin tomorrow, before meeting Nicolas Sarkozy in Paris and then Barack Obama in Washington next week.

-Tensions between Greece and Germany have risen after Greek Deputy Prime Minister Theodoros Pangalos last week accused Germany of failing to compensate Greece for Nazi occupation during World War II. Mr Pangalos made the remarks during a wide-ranging BBC interview about Greece’s financial difficulties.  "They [the Nazis] took away the Greek gold that was in the Bank of Greece, they took away the Greek money and they never gave it back," he said. Germany has rejected the allegations, describing them as "not helpful". The comments are likely part of a negotiating ploy by the Greeks in under to ensure German support for their severe fiscal and economic crisis.
 

Find out First – Register Now For GoldCore’s Exclusive Market Updates

Mark OByrne

Also on news-goldcore-com

Videos

Exclusive preview of interview with Rick Rule

Ed Steer Gold And Silver – We Ain’t Seen Nothing Yet!

Episode 5 of The M3 Report with Steve St Angelo

Blog posts

Exclusive preview of interview with Rick Rule

What do: Ron Paul Mike Tyson  A fart in an elevator  President Paul Kagame of Rwanda …have in common? They are all featured in this week’s The M3 Report, your show for all things Metals, Markets and Money. This is our sixth episode of the hit show. Subscribe now, to be sure not to miss it.  […]

READ MORE

Ed Steer Gold And Silver – We Ain’t Seen Nothing Yet!

Our guest this week is Ed Steer, expert gold and market analyst and author of the Gold & Silver Digest. We invited Ed onto GoldCore TV to get his take on what is concerning him most in financial markets, movements in SLV and sanctions against Russia. He also draws our attention to central bank purchases […]

READ MORE

Ross Geller inspires Bank of England policy

This morning the UK pound slumped as one of the world’s oldest central banks pressed hard on the panic button. The Bank of England was seen to be shouting ‘Pivot! Pivot! Pivaat!’ as they announced they would temporarily suspend their programme to sell gilts and will instead buy long-dated bonds.  In a statement, the bank […]

READ MORE

Featured

Rick Rule- Should You Invest In Gold 2022

READ MORE

Jim Rogers- The Worst Bear Market is Coming

READ MORE
Newsletter
Category
Archives
Popular

No posts available

Videos

Exclusive preview of interview with Rick Rule

Ed Steer Gold And Silver – We Ain’t Seen Nothing Yet!

Episode 5 of The M3 Report with Steve St Angelo

Blog posts

Exclusive preview of interview with Rick Rule

What do: Ron Paul Mike Tyson  A fart in an elevator  President Paul Kagame of Rwanda …have in common? They are all featured in this week’s The M3 Report, your show for all things Metals, Markets and Money. This is our sixth episode of the hit show. Subscribe now, to be sure not to miss it.  […]

READ MORE

Ed Steer Gold And Silver – We Ain’t Seen Nothing Yet!

Our guest this week is Ed Steer, expert gold and market analyst and author of the Gold & Silver Digest. We invited Ed onto GoldCore TV to get his take on what is concerning him most in financial markets, movements in SLV and sanctions against Russia. He also draws our attention to central bank purchases […]

READ MORE

Ross Geller inspires Bank of England policy

This morning the UK pound slumped as one of the world’s oldest central banks pressed hard on the panic button. The Bank of England was seen to be shouting ‘Pivot! Pivot! Pivaat!’ as they announced they would temporarily suspend their programme to sell gilts and will instead buy long-dated bonds.  In a statement, the bank […]

READ MORE

Featured

Rick Rule- Should You Invest In Gold 2022

READ MORE

Jim Rogers- The Worst Bear Market is Coming

READ MORE