This Day On The Street
Continue to site
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here

Gold, Silver Prices Struggle for Momentum

NEW YORK ( TheStreet ) -- Gold prices went nowhere fast Monday as physical buying supported prices but technical selling prevented any rallies.

Gold for April delivery settled down 80 cents to $1,348.20 an ounce at the Comex division of the New York Mercantile Exchange on extremely low volume. The gold price Monday has traded as high as $1,354.50 and as low as $1,344.10. The spot gold price was up $1.20, according to Kitco's gold index.

The U.S. dollar index was adding 0.01% at $78.06 while the euro was slipping 0.08% at $1.35 vs. the dollar.

Gold is still trading in no man's land with the metal searching for a catalyst. With investor attention on stocks and multiple M&A deals, gold is having a hard time finding direction.

The metal has seemed to stem its violent January selloff, which brought prices down to $1,307 and close to the $1,300 support level. Friday's disappointing jobs number did little to help gold despite the fact that it ensured no rate hike in the near future.

"Trade [will] likely remain volatile as investors react to Friday's jobs data," says James Moore, research analyst at, "Gold ... has found good support around $1,344 but requires a break above the 100-day moving average, $1,362.20, to avoid another round of stale long liquidation."

An interest rate hike might be in the future for England as its central bank meets Thursday. Inflation in the country hit 3.7%, well over the limit of 2%, and rumors have been bubbling about a rate increase, the first since 2007. But with unemployment around 8% and youth unemployment at 10%, England will have to weigh the risks of fighting inflation and limiting growth. The European Central Bank chose growth last week by keeping its interest rates at historically low levels.

An interest rate increase could provide more headwinds for gold.

Other emerging-market economies with heated inflation like Russia are still hesitant to raise rates, but are taking less aggressive and more gold friendly action. Russia's central bank increased the amount of money banks must hold in their reserves to take money out of circulation, a move that China tried six times in 2010 and once in 2011.
1 of 3

Check Out Our Best Services for Investors

Action Alerts PLUS

Portfolio Manager Jim Cramer and Director of Research Jack Mohr reveal their investment tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
Quant Ratings

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
Stocks Under $10

David Peltier uncovers low dollar stocks with serious upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
14-Days Free
Only $9.95
14-Days Free
Dividend Stock Advisor

David Peltier identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Updates with exact steps to take - BUY, HOLD, SELL
Trifecta Stocks

Every recommendation goes through 3 layers of intense scrutiny—quantitative, fundamental and technical analysis—to maximize profit potential and minimize risk.

Product Features:
  • Model Portfolio
  • Intra Day Trade alerts
  • Access to Quant Ratings
Real Money

More than 30 investing pros with skin in the game give you actionable insight and investment ideas.

Product Features:
  • Access to Jim Cramer's daily blog
  • Intraday commentary and news
  • Real-time trading forums
Only $49.95
14-Days Free
14-Days Free
SLV $14.65 2.20%
SIVR $15.12 2.40%
ABX $12.15 4.40%
AU $11.01 2.60%
CDE $2.72 6.90%


Chart of I:DJI
DOW 15,856.11 -348.86 -2.15%
S&P 500 1,831.75 -48.30 -2.57%
NASDAQ 4,219.1690 -143.9750 -3.30%

Free Reports

Top Rated Stocks Top Rated Funds Top Rated ETFs