Gold Flying on the Back of War and Poor Economic News

This week we’ve continued to see Gold and Silver pushing ever upwards on the back of uncertainty in economic news worldwide.

With Israel dominating the attention, causing both Oil and precious metals to bounce upwards and combining uncertainty into the Ukraine-Russia conflict; The Middle-East and Eastern-Europe are now poised to affect markets indefinitely. 

And back to the US, where home builder confidence is now the lowest we’ve seen since January, and retail sales are too strong in contradiction to what the FED is hoping to achieve with higher interest rates. As retail continues to gain further strength, it is looking more and more likely that another interest rate increase will be thrown at the masses prior to the Christmas season. 

In Australia, inflation data is also looking increasingly worrisome and is now pushing back upwards towards 6.0% annualised (CPI). With the only real weapon both the FED and  RBA have being a ‘bigger stick’, consumers and mortgage holders could be looking towards a very very lean Christmas period as rates continue to increase.

Looking at these two environs, both War and higher interest rates amongst high inflation data – both are growth signals for precious metals.

Here’s today’s pricing charts.

Gold daily, with 200MDA

Silver daily, with 200MDA

US500, with 200MDA

ASX200, with 200MDA