PRECIOUS METALS RECAP 4/9/2012

April Gold closed up 14 at 1642.5. This was 6 up from the low and 3.9 off the high.

May Silver finished down 0.206 at 31.524, 0.366 off the high and 0.214 up from the low.

The gold market managed a gap up trade today and might have forged that action in the face of sagging US economic views which in turn prompted speculation that the Fed might have to move back into an easing stance. However, others think that gold was lifted today by the end to the Indian jewelers strike which took place during the market closure last Friday. On the other hand, gold did manage some of the noted range up action today in the face of adverse currency market action. In general, most players think that gold is catching a bid because of renewed US easing expectations and that suggests today's Chicago Midwest fed manufacturing readings were given a priority status.

The silver market at times traded up to the highest level since April 4th but the trade was unable to sustain all of those initial gains. On the other hand, noted strength in gold prices did seem to provide some spillover buying into silver which was probably benefited from revived hopes of US easing. However, silver and copper at times were the weakest of the metals complex today and that might have been the result of noted pressure in US equities. As suggested in the mid day coverage silver probably saw some added pressure from private forecasts of a sharp decline in Indian silver imports.