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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.

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PRECIOUS METALS REVIEW - NOVEMBER 21, 2014

In the precious metals markets this week . . . 

GOLD:
Monex spot gold prices opened the week at $1,187 . . . traded as high as $1,206 on Friday and as low as $1,175 on Wednesday . . . and the Monex AM settlement price on Friday was $1,198, up $11 for the week.  Gold support is now anticipated at $1,192, then $1,181, and then $1,155 . . . with resistance anticipated at $1,206, then $1,231, and then $1,255.

SILVER:
Monex spot silver prices opened the week at $16.19 . . . traded as high as $16.61 on Friday and as low as $15.90 on Wednesday . . . and the Monex AM settlement price on Friday was $16.42, up $.23 for the week.  Silver support is now anticipated at $16.27, then $15.98, and then $15.23 . . . and resistance anticipated at $16.56, then $16.66, and then $17.22.

PLATINUM:
Monex spot platinum prices opened the week at $1,210 . . . traded as high as $1,235 on Friday and as low as $1,182 on Wednesday . . . and the Monex AM settlement price on Friday was $1,227, up $17 for the week.  Platinum support is now anticipated at $1,224, then $1,200, and then $1,192 . . . and resistance anticipated at $1,235, then $1,257, and then $1,286.

PALLADIUM:
Monex spot palladium prices opened the week at $772 . . . traded as high as $793 on Friday and as low as $764 on Wednesday . . . and the Monex AM settlement price on Friday was $793, up $21 for the week.  Palladium support is now anticipated at $771, then $763, and then $725 . . . and resistance anticipated at $799, then $808, and then $835.

QUOTES OF THE WEEK:

From Richard Russell, founder of Dow Theory Letters, in remarks posted on his website on November 17th:

''On the news that Japan is back in recession, the Central Bank of Japan countered the news with a massive explosion in quantitative easing.  On this news, Japan's yen semi-crashed.''

''As for gold, I defer to Dennis Gartman, who amazingly keeps his eye on just about everything.  Dennis is not a chart nut, but he does recognize chart activity.  I want to repeat what he says in today's report:

GOLD: A Second Reversal To The Upside: We've not the computer capabilities to research this properly, but quite honestly we cannot ever recall having seen any commodity ... much less gold ... trace out two reversals to the upside in this fashion before!  This is wildly bullish action and we shall be adding to our Gold/Yen trade this morning as a result.  We've really no choice.

Dennis has been scornful of the so-called gold bugs, but when Dennis finally turns bullish on gold and dollars, I raise an arm and cry, 'Excelsior!' ''

''The hatred against gold continues.  This has had the effect of keeping gold out of the hands of the public.  I liken it to a great ship sinking while the crew punches holes in the life preservers.''

. . . and from an editorial on the ''Issues & Insights'' page of Investor's Business Daily on November 18th:

''It's time to acknowledge Keynesian economics is a hoax.  Government spending and debt don't accelerate growth; they put us on the path to financial ruin.

Nor can green energy be our economic savior.  As Germany has found, green energy leads to fewer jobs and recession, not economic or environmental salvation.

Finally, to the Fed: Printing money isn't a viable long-term strategy.  Artificially cheap money is an illusion.

Will America learn these lessons in time?  Since the elections, President Obama's actions suggest he wants to follow Europe and Japan over a financial cliff.''

. . . and from U.S. senators Elizabeth Warren and Joe Manchin, in an editorial on the ''Opinion'' page of The Wall Street Journal on November 18th:

''An October report from the Fed's Office of Inspector General provided additional confirmation that the Fed is failing to oversee the big banks . . . The report concluded the New York Fed needed to improve its supervision of the biggest, most complex banks.

Lax supervision isn't an abstract or academic problem.  The stakes couldn't be higher.  Just this summer, the Fed and the Federal Deposit Insurance Corp. determined 11 of the country's biggest banks had no credible plan for being resolved in bankruptcy.  That means that if any one of these banks makes more wild bets and loses, the taxpayers would have to bail it out to prevent the economy from crashing again.  We're all counting on the Fed to monitor the big banks and stop them from taking on too much risk, but evidence is mounting that this faith in the Fed is misplaced.''

''If regulators had been more willing to protect Main Street over Wall Street before 2008, they might have averted the financial crisis and the Great Recession that hurt millions of American families.  So long as the Fed and other regulators are unwilling or unable to dig deeply into dangerous bank practices and hold the banks accountable, our economy -- and our country -- remains at risk. The administration has a chance to protect the families that are still struggling to recover from the last financial crisis.  It should not pass it up.''

. . . and from Avi Gilburt, in a posting on the MarketWatch website on November 20th:

''I do not often write about the metals on MarketWatch, but have seen too many bearish articles calling for the death to the metals, so I felt compelled to speak up.  While many are now saying it is time to sell metals, I will have to disagree.  The time to sell your metals was several years ago.  Now is the time to start looking to buy them back.''

''When purchasing goods and services, many spend great time and effort looking for 'sales.'  But for some reason, they fail to apply that same discipline to stocks and precious metals.  Rather, it is only when they see a stock or market soar that they want to buy it, and when a market is tanking is when they want to sell it.  That is why investors most often buy at the highs, and sell at the lows.  Again, this is all based upon human nature.''

''So, if your choice is to follow your feelings, and decide to be a seller soon, rather than a buyer, then I believe you may miss one of the most bullish market moves which can be seen in the next 10 to 15 years.  But, as an investor, that is clearly your choice.  I know that when all the analysts are now lining up to call the death to the metals, I will remain staunchly viewing the market as finally bottoming over the next six months because I am going to maintain a much bigger perspective on this market than most.''

. . . and from Koh Gui Qing and Jason Subler, in a posting on the Reuters website on November 21st:

''China cut interest rates unexpectedly on Friday, stepping up efforts to support the world's second-biggest economy as it heads towards its slowest expansion in nearly a quarter of a century, saddled under a mountain of debt.

But the central bank, keen to show it was not back-tracking on economic reforms, twinned the move with a slight liberalisation of the rates banks pay to borrowers in a bid to ensure millions of savers do not see their incomes hit.

Beijing's first rate cut in more than two years comes as factory growth stalls and the property market, long a pillar of growth, is weak, dragging on broader activity and curbing demand for everything from furniture to cement and steel.''

''China's rate move comes after the Bank of Japan sprang a surprise on Oct. 31 by dramatically increasing the pace of its money creation, while European Central Bank President Mario Draghi shifted gear on Friday and threw the door wide open to quantitative easing in the euro zone.

'There is definitely more concern around about the state of the global economy than there was a few months ago, you see that not just when you talk about Europe,' British finance minister George Osborne told an audience of business leaders in London on Friday.''

Last update: Nov 21, 2014 11:25:18 AM

This is not a recommendation to buy or sell.