The primary reason the U.S. Government and Federal Reserve intervene actively in the gold market is to keep to keep the price from moving higher in order the protect the reserve status of the U.S. dollar.

Given that we know Russia and China are actively disabusing their foreign reserve holdings of Treasuries – quietly and now apparently more quickly – the dollar was in danger of breaching key technical levels to the downside and drop like a rock into the mid-70′s (USDX basis). Today the focus was on previous US Retail Sales numbers as the index back close to 80 and now the Fed via its agent bullion banks are trying smash the price of gold lower to “reinforce” the move in the dollar. Gold lower <23.90> at $1,303.60USD/oz; Silver slips to 19.60 <0.42> leaving the Gold Silver Ratio at 66.51 widening further. Oil <0.50> @ USD$103.55/Barrel. (The Silver Dr. 03/26/2014)  

Note movements are based on previous days close.

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