Gold had a very strong close into Friday challenging her USD all time highs with the equity indexes a long way from their recent lows. For those that measure things in pounds, euros, Mexican pesos, Brazilian Reals and Swedish Krones gold made fresh all time historic highs on friday. As usual almost totally unreported by the international press.
The relative strength of gold and silver continues it seems. This week their miners joined the move. Usually pm miners fall with the indexes as all equity is shunned. This week the pms miners added weight and in some cases out performed their underlying metals. This is noteworthy. Is it the start of something significant or simply noise? We shall see. Indicators have been flashing over bought for weeks on the precious metals. The miners are late to the move and under performing their underlying’s move. Is this the same old pattern of being late to the party? Time will tell.. What i can confirm is that the HUI has finally broken out of her 10 month long range. The HUI hit 590 last oct 2010 when gold hit 1400 usds. With Gold at close to 1900 usds or 35% higher the HUI is around 4.5% higher and finally recording a breakout.
For those interested, Gold made new all time historic highs in euros and gbps and a few other currencies on Friday. She is close to another breakout in USDs. The move is parabolic here but the recent 12% sell off seems to have supported another push onward. Sept could be a very strong monetary and fiscal month with upside parabolic implications for gold and silver.
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