U.S. Data Powers Demand for Precious Metals
Source: Oil N' Gold, ecPulse (11/3/09)
"Precious metals insist on moving upwards, where the upside medium-term direction is bullish"
Gold gained in yesterday's trading session, where it closed at $1,059.60 gaining 1.43%; silver rose 0.80% and closed at $16.45; whereas platinum gained of $11/oz., where it closed at $1,335.00 rising 0.83%.
Today's focus was set on the major plunge Hang Seng Index faced, despite some Asian stock indices also falling; whereas precious metals continued to gain due to demand every once in a while from numerous speculators and investors. However, gold managed to rise today once again, where it is currently trading at a clear high; meanwhile silver rose and is trading at 16.53, inclining by 0.49%; platinum followed by gaining, reaching $1,343/oz.
However, yesterday's trading session witnessed gold gaining more than any other precious metal, thus showing us there are strong speculations mixed with investments in the market that came alongside demand for a safe haven.
Australia raised its benchmark interest rate to 3.5%, causing more demand on gold as the Australian dollar is enjoying a higher return, which in its turn is attracting investors to buy gold due to request for the Australian dollar, and selling low-yielding currencies.
Precious metals insist on moving upwards, where the upside medium-term direction is bullish, specifically on gold, as prices are seen above $1,100/oz.; whereas the short-term and intraday direction may both witness major fluctuations if speculations remain strong in financial markets.