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The ‘Sneaky Bid’ in Gold and Silver

Friday, 23 Nov 2012 | 12:10 PM ET

Technical buying, and a "risk on" day in stocks and the euro, helped push gold and silver higher Friday.

Anthony Bradshaw | Getty Images

Gold was up more than 2.2 percent for the week, as the dollar wobbled against the euro. The euro, at a three week high, was up 1.8 percent for the week against the greenback.

Also in the background is an improving view of China's economy. Chinese manufacturing data Thursday showed expansion for the first time in 13 months.

The HSBC preliminary Chinese purchasing managers' index for November was at 50.4, up from October's 49.5.

Earlier Friday, German business confidence was reported to be improving, after six months of declines.

Barclays global head of technical strategy Jordan Kotick said Wednesday afternoon that he's been watching a "sneaky bid" in gold and silver.

Silver broke out, taking out $32-$33. "That's bullish. This adds to the improving backdrop. The same is true for gold at $1740-$1750," per ounce, he said.

Gold pushed through those levels Friday and closed at $1751.30 per ounce, and silver finished at $34.11 per ounce, five percent higher on the week. Gold was at its best level since Oct. 17, and silver was the highest since Oct. 5.

—Follow Patti Domm on Twitter @pattidomm

Questions? Comments? Email us at marketinsider@cnbc.com

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  • Patti Domm

    Patti Domm is CNBC Executive Editor, News, responsible for news coverage of the markets and economy.

  • A CNBC reporter since 1990, Bob Pisani covers Wall Street from the floor of the New York Stock Exchange.

  • Sharon Epperson is CNBC's senior commodities and personal finance correspondent.

  • JeeYeon Park is a writer for CNBC.com. Follow her on Twitter: @JeeYeonParkCNBC

  • Rick Santelli joined CNBC Business News as an on-air editor in 1999, reporting live from the floor of the Chicago Board of Trade.

  • Senior Producer at CNBC's Breaking News Desk.

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