Recent commentaries

Notwitstanding minimum influence of currency indices on gold this week, the long-term trend in precious metals market appears promising.

Gold & silver moved sharply higher in the past several days, but does that really mean that there are no more gains on the horizon?

Inflation will play a larger role in determining China and the United State’s approach to monetary policy in the near future. Chinese policymakers are implementing measures that are designed to cool down its overheating economy. The US Federal Reserve is not concerned now, but will it need to follow suit?

The rebound in industrial demand, especially from the electronics and electrical sector, appears supportive for silver in the long term. Surging industrial demand from China and India is also bullish for the silver market, pulling up prices. Positive economic outlook coupled with current market fundamentals indicates improved returns on silver investments.

Currency indices provide bullish implications for gold, silver and mining stocks. The outlook is bearish for the euro and bullish for the dollar. The precious metals have been trading in tune with the dollar and the outlook for both is therefore bullish at this time.