Market Commentary

Ø Gold opened a little lower at 1610.75/1611.75 and made a quick dip to an intraday low of 1609.25/1610.25. The metal raced higher after poor economic data spurred stronger thoughts of QE3. Gold eventually reached an intraday high of 1624.75/1625.75 early morning before profit taking halted the metal’s climb, taking it to a close of 1618.50/1619.50.

Ø Silver opened lower at 28.76/28.81 alongside lower crude overnight. After a quick dip to its intraday low of 28.73/28.78 after the open, silver gained quickly alongside gold to reach an intraday high of 29.11/29.16 early morning. Range bound for the remainder of the session, silver closed the day on light profit taking at 28.95/29.00.

Technical Commentary

Ø Gold closed slightly higher today at 1618 but continues to trade within a consolidation pattern. Support is at Friday’s low of 1556 and resistance at the June high of 1641. We will need to see a breakout on either side to establish direction; though the general bearish trend for gold remains in place.

Ø Silver also continues to trade sideways, forming a doji in the candlestick charts. The close was 28.95. The low 29’s have provided resistance in the past 3 sessions and support is at Friday’s low of 27.96. Key resistance is at 29.90, June’s high. The Gold-Silver ratio is trading higher at 55.90.

Technical levels for 14^th June, 2012:

Metal	Support ($/oz)	Resistance ($/oz)
Gold	1,609.01	1,629.81
Silver	28.453	29.336

Economic Calendar:

Date		Economic Indicator	Country	Actual	Forecast	Previous		Effect & Remarks
14th Jun	Core CPI m/m		US	Pending At 6:00pm	0.2%		0.2%	If Actual > Forecast = Good for currency. Change in the price of goods and services purchased by consumers, excluding food and energy.
14th Jun	Unemployment Claims		US	Pending At 6:00pm	377K		377K	If Actual < Forecast = Good for currency. The number of individuals who filed for unemployment insurance for the first time during the past week.
13th Jun	Core Retail Sales m/m		US	-0.4%	0.1%		0.1%	As Actual < Forecast =Not Good for currency. Change in the total value of sales at the retail level, excluding automobiles has Decreased.
13th Jun	PPI m/m		US	-1.0%	-0.6%		-0.2%	As Actual < Forecast =Not Good for currency. Change in the price of finished goods and services sold by producers have Decreased.

Disclaimer: -

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