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China GDP: Non-Event For Gold, Silver Faring Well - CEO

KITCO NEWS - Gold prices are moderately lower in early U.S. trading Tuesday, on some profit taking amid an increase in risk appetite among traders and investors early this week.

KITCO NEWS - Gold prices are moderately lower in early U.S. trading Tuesday, on some profit taking amid an increase in risk appetite among traders and investors early this week. February Comex gold was last down $0.50 at $1,090.50 an ounce. China’s GDP coming in at the lowest level in 25 years -- 6.9 percent -- was not helping gold’s plight, said Frank Holmes of U.S. Global Investors in an interview with Kitco News. World stock markets were given a boost on the China news, he explained. The main issue for gold, he continued, remains the strong U.S. dollar. Holmes said he’ll be looking to inflation data due for release later in the week. ‘Excluding oil and excluding food, CPI is estimated to be 2.1 percent, which is higher than a 5-year U.S. government bond. That bodes well for gold holding itself as a monetary asset.’ Holmes said that he is focusing on silver, ‘In a down week for most markets, silver fared the best, falling only 0.11 percent,’ he noted. ‘There was no particular story supporting the move, but note that silver really didn’t fully participate in the precious metal rally last week and perhaps had less to lose,’ he explained. March Comex silver was last up $0.209 at $14.105 an ounce.

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