Consolidating at the higher levels

Bullion markets now have to contend with increasing hostilities between Israel and Iran.

Gold and silver were firmer on the week, with gold trading in Europe this morning at $2390, up $46, while silver was at $28.45, up 60 cents. While both were higher since last Friday, it is best described as a week of consolidation.

Overnight, the Israelis launched an attack on Iran, escalating the hostility towards all-out war. Gold spiked to $2415 on the news, but it appears that bullion markets decided not to panic. But it will make for an interesting day during US trading hours.