Gold & Silver – Daily Outlook April 13

Submitted by Lior Cohen, M.A. at Trading NRG using the Trefis Contributor Tool

Gold and silver rallied yesterday and with this gain they have both advanced from their tumble at the beginning of the month. The U.S jobless claims rose and thus may have been among the factors to pull down the US dollar. Today, there are several reports to come out including: U.S CPI, Great Britain PPI and U.S TIC Long Term Purchases.

The complete gold and silver prices daily forecast

Gold bounced back and increased on Thursday by 1.22% to $1,680; silver also increased by 3.19% to $32.53.

On Today’s Agenda

U.S Core CPI:. Following the U.S PPI report that came out yesterday, in which the PPI remained unchanged while the U.S PPI excluding energy and food edged up by 0.3%, this may suggest the CPI will also remain flat while the core CPI might edge up. During February 2012, the core CPI rose by 0.4% (M-o-M) and also increased over the last 12 months by 2.2%; this report may affect the US dollar and consequently gold and silver;

U.S. TIC Long Term Purchases: In the previous report regarding January 2012, the net foreign purchases of U.S Treasuries longer-term notes reached $101 billion; if this trend will continue it may affect not only the currencies markets, but also commodities markets;

Daily Analysis

Metals bounced back yesterday after they didn’t do much on Wednesday. This rally coincided with the strengthening of the Euro, which is strongly positively linked with metals. The rest of the market including stocks and energy commodities also rose yesterday. If this direction will continue it may suggest that gold and silver will continue to trade up. The upcoming U.S reports including core CPI and TIC long term purchases may affect the strength of the USD and consequently bullion.

For further reading:

Examining the Gold Price in Light of the U.S Money Base – April Report

Reexamining the Difference between Gold and Platinum