Make Kitco Your Homepage

Gold, silver trading lower

Commentaries & Views

The metals action is in an interesting position; gold has rallied while silver continues to sell off. Thursday saw gold rise to the top of the range, and the metal is selling off a little this morning. Silver is trending lower and is slightly lower this morning but close enough to unchanged that it could be on either side by the time you read this.

As we look at the metals markets for now, they are like the tale of two cities-- gold rising and silver falling. The pressure on silver is interesting based on what gold has been doing. The ratio between gold and silver continues to widen, which in the long run should be bullish for silver.

For now, we are long gold, short silver and waiting to see how March silver reacts at $17.50. Gold is in a trading range between $1,545 and $1,575. The metals are looking to break out in one direction or the other. We look for gold to go higher, which could drag silver higher with it.

Disclaimer: The views expressed in this article are those of the author and may not reflect those of Kitco Metals Inc. The author has made every effort to ensure accuracy of information provided; however, neither Kitco Metals Inc. nor the author can guarantee such accuracy. This article is strictly for informational purposes only. It is not a solicitation to make any exchange in commodities, securities or other financial instruments. Kitco Metals Inc. and the author of this article do not accept culpability for losses and/ or damages arising from the use of this publication.