As far as US equities are concerned, the fallout from Britain’s referendum to leave the European Union is already ostensibly an afterthought. Following a two day plunge for the Dow, it has now spent the last three days recovering nearly all of its losses from the Brexit decision. Even with US equities recouping losses, the precious metals have not lost any ground. Gold is consolidating above $1,300 and continues to attract safe-haven bids. Despite gold not yet reaching the $1,360 level that it touched on the night of the Brexit vote results, silver is outshining gold and is currently at highs it hasn’t seen since September of 2014. The next major target in silver is $19 while $18.50 is short term support. Physical demand for fabricated coins and bars in the US remains subdued and it appears that institutional money is the driving force behind the move higher in the metals.
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