• Strong Sign for Silver and Gold Prices Today

    17-Jun-15 Price Change % Change
    Gold Price, $/oz 1,176.40 -4.10 -0.35%
    Silver Price, $/oz 15.94 -0.02 -0.11%
    Gold/Silver Ratio 73.802 -0.174 -0.23%
    Silver/Gold Ratio 0.0135 0.0000 0.24%
    Platinum Price 1,072.40 -7.10 -0.66%
    Palladium Price 720.30 -12.45 -1.70%
    S&P 500 2,100.44 4.15 0.20%
    Dow 17,935.74 31.25 0.17%
    Dow in GOLD $s 315.17 1.64 0.52%
    Dow in GOLD oz 15.25 0.08 0.52%
    Dow in SILVER oz 1,125.20 3.23 0.29%
    US Dollar Index 94.49 -0.77 -0.81%

    3 Day Gold Price Chart
    30 Day Gold Price Chart
    5 Year Gold Price Chart
    3 Day Silver Price Chart
    30 Day Silver Price Chart
    5 Year Silver Price Chart

    At Comex close the PRICE OF GOLD was lower by $4.10 at $1,176.40 while SILVER had lost 1.8 cents to $15.94. As I write in the aftermarket silver is trading at $16.11 and the gold price at $1,185.20.

    During the day silver and GOLD PRICE were flat and still as a roadkilled cat, hugging $1,180 and $16.00. About 12:30 Eastern the price of gold dropped below $1,175, traded sideways until Yellen’s bellin’, then about 3:00 everybody changed his mind and started buying. That ran the gold price up as high as $1,189 and silver to $16.274, but they have since calmed down.

    Gold Price/USD Index

    It’s always a strong sign when a market under pressure by events and price touches a new low for the move or a relative low then bounces back at day’s end. That’s what silver and gold prices did today. Also the GOLD/SILVER RATIO appears to be rolling over downward. The Gold Price/ US dollar index spread popped up, clean above its 50 AND its 20 day moving averages. Chart on the right.

    These execrable FOMC days always confuse markets, but silver and gold prices came out of this one like a Labrador coming up out of a freezing pond, shaking the water off their backs and looking for the next duck to hunt.

    Here’s a link to an article about how ordinary Greeks are coping with the threats of their government’s insolvency: http://bit.ly/1GfEvNa How do they respond? By pulling money out of the banks. Only one mentions buying gold, none silver, which would be eminently more useful than gold in a financial crisis.

    Banks and governments can turn off your access to your own money without any warning. Then you’re stuck, and at their mercy. If you can, always try to keep three month’s cash needs somewhere you have 24 hour access to it, even if you have to build in a safe at your home. It’s the same principle as how to stay out of bar fights: leave the bar before the fight begins. Leave the bank before the crisis begins.

    Following precedent, Janet Yellen and her Committee of Monetary Midgets blew hot and cold out of both sides of their mouths. Yes, we are going to raise interest rates buuuuuuuuuut not quite yet. Merciful heavens, how long do we have to put up with this idiocy? Where are lightning bolts when you need them?

    Bottom line: no interest rate increase yet, nor is one in sight without a radiotelescope.

    Dollar index took that news on the chin and fell down the stairs and out the door, down, down, down 77 basis points (0.81%) to 94.49. Did not, however, make a new low for the move, but got within a single skinny basis point. Bad day, but don’t count it out yet. Needs to crash below 94.30 to confirm, and really I’d like to see it below 93.15.

    Euro bathed its feet in the dollar’s blood. Rose 0.79% to $1.1339. No breakout, just higher than it as yesterday, needs to conquer $1.1500 to strut. Yen lost 0.4% to 81.03. Shorter maturity notes yields fell where longer term (30 year) rose because the Fed allowed it would keep on buying loads of ’em.

    The Greeks are playing guts ball with those squishy Eurocrats, going nose to nose without a blink. They may get away with it — for a while. But whatever happens, the banks will not lose, you can bet your cheap politician on that.

    Aurum et argentum comparenda sunt — — Gold and silver must be bought.

    – Franklin Sanders, The Moneychanger

    © 2015, The Moneychanger. May not be republished in any form, including electronically, without our express permission. To avoid confusion, please remember that the comments above have a very short time horizon. Always invest with the primary trend. Gold’s primary trend is up, targeting at least $3,130.00; silver’s primary is up targeting 16:1 gold/silver ratio or $195.66; stocks’ primary trend is down, targeting Dow under 2,900 and worth only one ounce of gold or 18 ounces of silver. or 18 ounces of silver. US $ and US$-denominated assets, primary trend down; real estate bubble has burst, primary trend down.

    WARNING AND DISCLAIMER. Be advised and warned:

    Do NOT use these commentaries to trade futures contracts. I don’t intend them for that or write them with that short term trading outlook. I write them for long-term investors in physical metals. Take them as entertainment, but not as a timing service for futures.

    NOR do I recommend investing in gold or silver Exchange Trade Funds (ETFs). Those are NOT physical metal and I fear one day one or another may go up in smoke. Unless you can breathe smoke, stay away. Call me paranoid, but the surviving rabbit is wary of traps.

    NOR do I recommend trading futures options or other leveraged paper gold and silver products. These are not for the inexperienced.

    NOR do I recommend buying gold and silver on margin or with debt.

    What DO I recommend? Physical gold and silver coins and bars in your own hands.

    One final warning: NEVER insert a 747 Jumbo Jet up your nose.

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