Welcome to illuminati silver, we tell you
the truth about silver. Today is Saturday 7th January 2017 and we
are providing our gold and silver weekly update for the week ending 6th January.
Gold rose in US dollar terms last week by $21 from $1151 to $1172, having hit a high
of $1184 and a low of $1146. In sterling terms gold finished the week at £954 that’s up
£21, and in Euros it closed at 1113 Euros that’s up 18 Euros on the week.
Silver rose by 56 cents from $15.94 to $16.50 having reached a high of $16.71 and a low
of $15.91. In sterling terms it closed at £13.42 that’s up 51 pence for the week
and in Euros it closed at 15.66 euros that’s up 0.51 Euros.
The Gold to Silver Ratio fell from 72.2:1 to 71.03:1
The Dow Jones closed on Friday at 19,963 up 64 points on the day and up 201 points on
the week, and the NASDAQ closed at 5521 up 33 points on the day and up 138 points on
the week. Brent Crude was up 28 cents at $57.10 and
US Light Crude was up 27 cents at $53.99 The dollar index stands at 102.22 that’s
up a tiny 0.01 on the week. Similar to the previous week, Gold was bullish
again for most of last week, peaking on Thursday and then falling back a little once the jobs
data was published. As reported in our video yesterday, according to the Labor Department,
the headline number showed the economy added 156K jobs in December in the US. Traders were
looking for 175K. The Unemployment Rate rose from 4.6% to 4.7% as expected. Average Hourly
Earnings rose 0.4%, up from -0.1% and better than the 0.3% estimate.
The general consensus of traders opinion is that although the figures were less than anticipated,
the upgrading of the November figures and the increase in hourly earnings suggests that
the economy is actually improving and that interest rate rises are on the cards for 2017.
We tend to agree. Last year we predicted one interest rate rise, this year we estimate
there will be 2 and possibly 3, though we are more confident of 2 quarter point rises.
Although the dollar weakened during the week, it strengthened once the jobs data was announced
and we envisage this being a regular move for the next few months.
With this in mind, gold appears extremely resistive at the $1200 area and the closer
we get to that level, the more likely sellers are to become aggressive and push prices closer
towards $1100 though this may take a week or two to achieve.
All eyes will be focussed on the equity markets as the Dow approaches that all important 20,000
level and if it is reached and held, then we shall see even more funds moving out of
the precious metals and back into equities. This we envisage occurring once President-elect
Trump has been inaugurated or perhaps just before.
Silver markets rallied during the week, breaking well above the $16 level. However there is
considerable resistance all the way up to the $17 level. As with gold, the US dollar’s
continuing strength should continue to put pressure on the silver market. Having said
that the more bullish traders believe that the economy is going to perform, should to
some extent underwrite silver’s value though we are still of the opinion that we shall
see $15 silver before $18 silver. Now we all know that Government statistics
are at best flawed and at worst manipulated. This is why we tend to look more closely at
the trends rather than the underlying figures. What we feel we need to express though is
that traders, analysts and those entities which speculate on the markets, whether they
be equities, currencies or commodities, do place great store by these figures and anticipate
and react accordingly. So whatever you or we think or believe to be the case, it is
not us who will move markets. What we can do though is look at the long term, and remain
confident that given enough time our purchase decisions will eventually prove correct.
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be found at facebook.com/illuminatisilver Disclaimer:
Illuminati Silver owners come from a background of Banking, International Wealth Management
and Economics. Having now retired from these worlds we are not qualified to give investment
advice. Therefore, this and other productions must not be deemed to be giving such advice
and merely represent the personal views of its owners.