States Sue to Stop Biden's Assault on Retirement Savings
The White House Is Slow Walking Biden's Latest Medical Assessment
Hosts 'Growing Frustrated' As CNN Sees Worst Ratings Week in Nine Years
Schlichter: Don't Rely on the RNC
Damar Hamlin Shuts Down Body Double Conspiracy Theory in New Video
Biden's Border Crisis Comes Into Focus Up North
Harmeet Dhillon's Message for the RNC Heading Into 2024
'Aim for the Head': Air Force General's Fiery Memo on China Bucks Biden...
What is the Law?
Why the Left, Right and World Leaders Won’t Heed Trump’s Warnings Regarding Ukraine...
The Republican Party Is Addicted to Losing
Hmm: DNC Rapid Response Machine Now Boosting Trump Attacks Against DeSantis
Utah Bans Irreversible Transgender Care for Minors
Rhode Island School Solicits Donations From Staff to Pay 'Coyote' Who Smuggled Student...
Sick: Palestinians Enjoy Fireworks, Candy to Celebrate Cold-Blooded Murder of Jews at Isra...

Gold Up Sharply

The opinions expressed by columnists are their own and do not necessarily represent the views of

As I suspected the day before yesterday the pullback in gold prices was a temporary breather, the same basic pattern as last week. 

Gold was up sharply yesterday morning, rising $13.85 to $1,781.15.  Silver went along for the ride, up $0.63 to $35.98. 

Part of the optimism was due to Germany agreeing to a parliamentary vote on extending Greece more bailout money, a proposal that is wildly unpopular among the German public. 

Additional bailouts for Greece would only delay the inevitable as Standard & Poor’s lowered Greece’s already dismal credit rating to selective default.  If European leaders aren’t preparing for Greece to leave the European Union behind the scenes, then they’re whistling past the graveyard.  While the EU is a great concept, it’s not necessarily a great idea for Greece, an economy largely based on tourism. 

Athens needs to be able to control their own currency to make Greece a popular tourist destination.  Otherwise it’s saddled with the same currency as more industrial nations and a small island nation just can’t compete in that arena.  A better approach would be planning for an orderly departure but that idea doesn’t seem to be getting much traction.  The result of an unregulated departure is likely to be a train wreck. 

What that means for gold and silver is more gains, at least in the short term.  As long as Greece limps along and confidence remains high, then the influence of the newly arrived hedge fund managers will keep gold prices afloat.  I’ll be surprised if we don’t see $1,800 breached this week. 

So, all things considered, it’s shaping up to be another good week for gold.  Expect some resistance on profit-taking around $1,800 and stay mindful that all this goes out the window if Greece announces it’s pulling out of the EU.  Otherwise, if you’ve been planning a durable goods purchase anyway, this might be a good time to consider some small sales into rallies. 

Chris Poindexter, Senior Writer, National Gold Group, Inc

Join the conversation as a VIP Member


Trending on Townhall Video