Gold Hits Nine Year High

Posted on by The INO.com Team

For the first time since 2011, spot gold has topped $1900, hitting an intra-day high of $1906.35. Gold futures in the December contract traded above $1900, starting on Wednesday, hitting an intra-day high of 1933.60 today. On a weekly level, gold will post its seventh consecutive week of gains with a weekly increase of +4.8%

The move higher has been attributed to a US new home sales beat with US new home sales rising 13.8% in June versus an expected 4% increase for the month.

The May numbers were also upwardly revised to 19.4% advance. New home sales were at a seasonally adjusted annualized rate of 776,000 homes in June, the US Commerce Department said on Friday. May's sales were revised up to a rate of 682,000 units.

The market consensus called for sales to advance to 700,000 units in June. On an annual basis, new home sales were up 6.9% from last year's estimate of 726,000 units. Looking at home prices, the report said that the median sales price for homes sold last month was $329,200, while the average price was $384,700. The inventory of houses for sale as of the end of June was at 307,000, representing a 4.7-month supply at the current sales rate.

The major indexes are struggling to make up ground at the end of the week with all three indexes posting weekly losses. The S&P 500 will lose roughly -.5%. The DOW stands to lose somewhere around -.7%, and as a weakness to continue to enter the tech sector, the NASDAQ will post a weekly loss standing near -1.6%.

The US dollar continues to be put under pressure losing -1.6% on the weekly extending its weekly loss streak to five weeks.

Bitcoin, on the other hand, like gold, has seen a recent increase in trading volume triggering a new green weekly Trade Triangle at 9479.57 with a weekly gain of +4.3%.

Key Levels To Watch Next Week:

Every Success,
Jeremy Lutz
INO.com and MarketClub.com