Yesterday’s events and the reactions of all markets have been well documented and highlight why investors flock to gold and precious metals during heightened geopolitical events.
The sharp drop in prices this week has been met with a surge in physical demand as our corner of the market has come to life.
Despite Friday’s steady day (with prices moving higher late in the day), there was no follow through in Asia overnight as early physical demand did not last long.
Gold and silver spiked higher in Europe yesterday, breaking above resistance levels on news that a large bank in Portugal had missed payments on short term debt raising fears of another credit crisis in Europe.
The first trading day of the new quarter got off to a good start as gold led the charge higher by breaking above $1,330.00 during the Asian trading day.
Yesterday was quite a day, as platinum and palladium plummeted with the announcement that South African mine workers have accepted a new wage proposal from the mine operators.
Precious metals have traded quietly in narrow intra-day ranges this week, and while early in the U.S. trading day, early signs show this trend continuing today as all markets await a slew of economic data tomorrow and Friday.