Gold & Silver’s Weak Q3 Should Improve in Q4

Summary: Even though gold and silver performed better in the 3rd quarter, it still wasn’t good enough to erase the damage done in the second quarter of 2013. While both metals saw a strong rally in August, it fizzled out after it became clear the U.S. would not be getting directly involved in Syria. The dollar also had a rally, but that too fizzled by September 5th. And while the Fed’s unexpected announcement in the middle of Sept gave both metals a boost, it wasn’t enough for sustained gains. In this analysis, much of the recent price moves had more to do with assumptions and speculations rather than real fundamentals. Both metals are currently at an inflection point – if they break above, they could go a little higher before seeing resistance. If they waver and go lower, we could see both metals return to a near-term floor of $1189 for gold and $18.40 for silver. Read more…