Events Impacting Gold And Silver In The Week Of February 2nd

In this article, we summarize which events in the week ahead could impact the gold price and silver price. At the bottom of the article we explain that these events are generaly no fundamental drivers, but mostly the result of trading in COMEX futures.

Over the last week, between January 26th and 30th, both gold and silver moved slightly lower week-on-week. Gold came all the way down from its critical resistance zone at $1300 to test the $1250 area, while silver did not make it through $18.50 moving to $16.80. Gold is still very strong in ALL currencies, although it is stabilizing in US Dollar terms. The momentum is not lost in the precious metals but it is taking a pause for now.

For the week commencing February 2nd, there are some economic data to be released which could create some volatility in the markets, although presumably not directly in the precious metals complex. As the table below indicates, employment statistics will be released in the U.S. and Canada this week. The U.K. is planning to announce an interest rate decision which could create some turmoil in currencies, although not directly in gold.

The influence of late on gold and silver prices is likely to be driven by volatility in the stock market and currencies.



Note: The primary focus of our website is to report on the different aspects of the gold market: fundamentals, economic and monetary analysis, basic technical analysis. Our view on the real price setting in the gold and silver market differs from the mainstream view. Price changes happen to coincide with events or announcements; mainstream media are used to report a relationship between both. However, we believe that the real price setting for the time being is taking place in the COMEX futures market. Market expert Ted Butler does an outstanding job analyzing the weekly evolution in the COMEX market and how it affects price setting

Receive these articles per e-mail

Subscribe for the free weekly newsletter and receive 3 papers about physical precious metals investing