With generally favorable world equity market action over the last several sessions, and a lot of talk about new commodity funds getting involved in the metals, we have to think that the trend in gold will continue to point to the upside.
With the copper markets and some of the base metals seeing a positive flow of buying interest lately and the U.S. stock market hinting at even better economic conditions ahead, the overall environment for metals is supportive.
Silver remains in a unique position to benefit from a sagging dollar, positive equity market action and rising energy prices.
This market will probably continue to be quite volatile.
Ongoing strength in energy prices is perhaps the most critical element in a continued run in gold prices, but the rise in oil prices can't become so strong that growth is undermined.
