HTML5 Incompatible Browser

Precious Metals Review

Market information and news is critical for precious metal investing. However, many investors have limited time to sort through the massive amounts of market data and gold, silver and platinum news. The Monex Precious Metals Review consolidates the week's activities in a concise snapshot of the precious metal markets.

pmrmaster

PRECIOUS METALS REVIEW - SEPTEMBER 12, 2014

In the precious metals markets this week . . . 

GOLD:
Monex spot gold prices opened the week at $1,266 . . . traded as high as $1,266 on Monday and as low as $1,228 on Friday . . . and the Monex AM settlement price on Friday was $1,232, down $34 for the week.  Gold support is now anticipated at $1,229, then $1,200, and then $1,181 . . . with resistance anticipated at $1,237, then $1,254, and then $1,283.

SILVER:
Monex spot silver prices opened the week at $19.16 . . . traded as high as $19.16 on Monday and as low as $18.49 on Friday . . . and the Monex AM settlement price on Friday was $18.61, down $.55 for the week.  Silver support is now anticipated at $18.45, then $18.30, and then $17.80 . . . and resistance anticipated at $18.72, then $18.91, and then $19.14.

PLATINUM:
Monex spot platinum prices opened the week at $1,406 . . . traded as high as $1,406 on Monday and as low as $1,358 on Friday . . . and the Monex AM settlement price on Friday was $1,370, down $36 for the week.  Platinum support is now anticipated at $1,356, then $1,332, and then $1,311 . . . and resistance anticipated at $1,392, then $1,418, and then $1,447.

PALLADIUM:
Monex spot palladium prices opened the week at $885 . . . traded as high as $886 on Tuesday and as low as $824 on Friday . . . and the Monex AM settlement price on Friday was $836, down $49 for the week.  Palladium support is now anticipated at $828, then $808, and then $787 . . . and resistance anticipated at $838, then $862, and then $885.

QUOTES OF THE WEEK:

From David Malpass, in an editorial on the ''Opinion'' page of The Wall Street Journal on September 8th:

''The Federal Reserve recently made clear it is planning to maintain its enormous balance sheet -- roughly $4.5 trillion in Treasurys and mortgage-backed securities -- for many years, while keeping interest rates near zero at least into 2015.

Far from being neutral or stimulative, these policies have caused huge distortions in financial markets, contributing to slow growth and falling median incomes.  Given the tendency of government programs to expand and become permanent, the risk now is that the Fed's large pool of assets and liabilities evolves into a semi-permanent government-controlled investment fund, a U.S. version of sovereign-wealth funds created by other governments.''

''Instead of tackling a complex new investment mission, the Fed should establish a clear portfolio wind-down process that would let it concentrate on monetary and regulatory policy rather than i9nvestment management.  It needs to acknowledge and communicate the substantial benefits of from reducing its stockpile of bonds and moving interest rates above zero.  These policy improvements would create a cushion for rate cuts in an emergency, improve the allocation of credit, encourage savers and unfreeze short-term credit markets, helping to boost the U.S. economy and raise Americans' incomes.''

. . . and from an editorial on the ''Issues & Insights'' page of Investor's Business Daily on September 9th:

''Wages should be determined by the value of your labor, not the lifestyle you wish to live.  It used to be that if you wanted a higher wage, you studied hard and worked harder.  Now you're just supposed to write your legislator or call for union help.  Equal opportunity has become supplanted by demands for equal success as politicians try to buy votes with other people's money.''

''As we noted in August, a Cato Institute study shows that welfare paid more than a minimum-wage job in 35 states, even after accounting for the Earned Income Tax Credit, and in 13 states it paid more than the $15 an hour fast-food workers are now demanding.

We need to restore a culture of opportunity, not entitlement and dependency.''

. . . and from widely-followed gold market expert Jim Sinclair, in a posting on his website [Link] on September 9th:

''Cycles are best understood as probabilities for directional movement.  Those gold cycles that turned down at $1900 have now turned up with the price of gold now plumbing previous lows which are by definition major support.

The price objective once this experience is over is $2100, and is where it will trade in time.''

. . . and from Richard Russell, founder and editor of Dow Theory Letters, in remarks posted on his website on September 11th:

''Despite the surging dollar, gold today is well over $1200, suggesting internal strength of the yellow metal.  GDX is up 0.17 and GDXJ is up 0.89 to 38.49.  Thus I think that the gold universe is strong and that we are building a massive base in gold.  By the way, the chatter against gold has been almost deafening of late -- no doubt inspired by the Fed's denigration of gold.''

''With the expense of a semi-war against ISIS, a higher gold price would be expected.  With gold priced around 1250, my thinking is that gold is close to completing a major bottom and is ready to resume its bull market next year.''

''Over the next few months, I expect a resumption of the gold bull market that started in the early 1930s.  From a price of $20/ounce in 1930, gold has constructed an enormous bull market that has taken the yellow metal, despite a three year long correction, to a price above $1200 today.  Remember, every currency that has sent gold packing has either lost its purchasing power or has disappeared.  Thus it is only a matter of time before the US dollar meets its demise.  RIP.''

Last update: Sep 12, 2014 11:19:43 AM

This is not a recommendation to buy or sell.