Daily Bullion Market Report 01/23/12
By Barry Stuppler – MintStateGold.com
The gold rally continues on the outlook for a Greek debt settlement that will allow the EU and IMP to provide an additional 130 Billion Euro (US$168 Billion) in loans. Current Greek bondholders will be taking a 60% plus discount and receive new Greek securities. Demand continues to be strong globally and we are now up over $100 per ounce since January 1st. At 11am PST, spot Gold is at $1,677.50, up $13.50 per ounce with active trading and excellent volume.
WOW! During the last two trading days silver is up $2.00 per ounce. Getting above the $30 resistance level has been very bullish for the price. At 11am PST, spot silver is up $0.85, trading at $32.48 per ounce on heavy volume. Why has silver rallied so sharply in the last couple days? I believe it is a combination of breaking the 50-day moving average trend line of $30.88 (causing heavy short covering), and a clear acceptance of more monetary stimulus on the way from Europe, Asia and United State Central banks.