Gold and Silver's Daily Review for 12th October 2010


After Asia followed New York in taking the gold price down to $1,343 after the p.m. Fix of $1,351.5 London Fixed the price this morning at $1,343.5.   After the Fix, it rose $1, waiting for New York's influence ahead of the p.m. Fix.

The main influence today is a small bounce in the dollar against the euro, now standing at $1.3809.   Both these currencies are falling against the Yen still, now at 81.96 against the dollar while the Swiss Franc is also at a high of 0.9631 against the dollar.

While on the daily news front the impact of the global currency crises is dulling, these crises are extremely, structurally harmful to the global monetary system.   With national interests at the top of the priority list, it is unlikely they will be resolved until the crises are considerably worse.      The Yen is showing the greatest 'pain', followed by the Swiss Franc, but in so many nations now inflows of 'hot' money are damaging industries at home.   We are on the brink of spreading Capital Controls and maybe worse, Exchange Controls.   Do not be surprised in future days to see in certain currencies, a currency for trade and a separate one at a different price for capital!

Gold Forecaster and Silver Forecaster are structured in a way that addresses macro-economic factors from oil to currencies covering the pertinent gold markets that directly affect the gold price and some that simply influence it.   It is a "must-read" for all who want to understand why the gold price is moving as it is and why.   It also aims to help you understand why currencies and today's national economic problems are influencing the global economy and the precious metal prices [we cover platinum in the Silver Forecaster too].   It is vital to understand these subjects so as to be able to profit from the behavior of the gold, silver and platinum prices.   We suggest you subscribe through: and

Gold – Very Short-term

Gold should continue this short-term consolidation pattern today.

Silver – Very Short-term

Silver should continue the short-term consolidation pattern today as it sits on $23.07.

Gold Price Drivers

There are times in the investment world when events build up to a certain point just as one senses ahead of a major storm.   This can take some time, but the storm itself comes quickly after the first strike of lightening.   That lightening strike was this weekend, when both the G-7 and the I.M.F. failed to address the currency crises we are now seeing, adequately.

The needed ingredients with which to begin the huge task of resolving these crises are just not present.   National interests dominate international interests.   Until that changes, expect some turbulent days in the markets ahead.   We at Gold Forecaster have been forecasting these days for over two years now.   The storm is now about to break.   To gain the benefit of our perspectives, subscribe to our newsletter, where we will outline these at greater length and help you to protect your wealth in the destructive days that lie ahead.


Julian D.W. Phillips