Mid-Day Gold & Silver Market Report – 1/10/2012
GOLD, SILVER PRICES CONTINUE TO RALLY
Gold and Silver prices were off to a quick start and maintained their upbeat trend throughout this morning. The stock market is well off its high for the day but is still setting up to have a good day. The dollar continues to weaken, which could allow this favorable trend for Gold and Silver to continue.
Greece is back on the front burner as hedge funds are not willing to accept International Monetary Fund (IMF) proposals to bring Greek debt down to affordable levels. The hedge funds would prefer one of two things:
1. Let Greece go bankrupt; when Greece goes bankrupt, the hedge funds will be covered by the credit insurance they bought to protect against loss.
2. Get others involved and force the issue so that the funds get paid in full without any type of haircut.
It is a dangerous game being played by two parties with completely different interests. The hedge funds must focus on what is best for their clients, and the IMF is trying to fix an entire European sovereign debt problem.
At noon (CST), the APMEX precious metals prices were:
- Gold - $1,634.20 – Up $25.10.
- Silver - $29.98 – Up $1.12.
- Platinum - $1,465.00 – Up $36.40.
- Palladium - $638.00 – Up $19.10.