Gold and silver hold steady, on course for third week of gains
Gold and silver are holding steady this morning as the metals head for their third week of gains, the longest winning streak since November. A steady euro and rising equities should limit any declines.
Consumers in China helped bullion jump to its highest in more than a month this week, but purchases began to slow down ahead of the long Lunar New Year break which starts next week. Bullion has gained more than 5 percent so far this year. It had hit a high of almost $1,670 an ounce on Thursday, its strongest since mid-December, before losing some of the gains due to weak U.S. inflation data.
Bullion struck a record of around $1,920 last September."Gold has a fairly good run so far this year, maybe this is time to consolidate a little. A pause here would probably be a healthy sign. After that, I think the next move is likely to be up towards $1,680," said Nick Trevethan, senior commodity
strategist at ANZ bank in Singapore.
"I think physical flows may slow a little next week. Chinese buyers will still take the time to come to the market if prices fall significantly. So, I think there's going to a floor under the market, initially at $1,650, but I can't see a big fall to below $1,600."
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