Silver is trading at $27.36/oz, €22.38/oz and £17.59/oz. Platinum is trading at $1,423.00/oz, palladium at $580.40/oz and rhodium at $1,190/oz.
Gold rose $1.50 or 0.09% in New York yesterday and closed at $1,589.50/oz. Gold rose and fell in Asia and recovered for the open in European trading prior to further weakness (lows $1,590/oz & high $1,599/oz).
Gold inched up on Tuesday ahead of Federal Reserve Chairman Ben Bernanke's Congressional testimony today and Wednesday which should provide the market with information as to whether the US central bank will flood the market with more US paper.
Recent soft data from the US such as weak retail sales that fell in June for a 3rd month in a row, shows further signs that US economic growth is sluggish, at best.
The market is expecting QE3 in some form to be announced and gold is finding support from inflation hedging buying and a pickup in safe haven demand - particularly in Europe.
Marc Faber has again warned that the U.S. government-bond market is overbought, the U.S. dollar is overbought and gold is oversold near term.
Faber is very negative about the outlook longer term according to Paul Farrell writing in Marketwatch (see Commentary) who writes an interesting article about Faber's recent interview on CNBC.
Farrell, like Faber, has been accurate in warning of the significant risks facing savers and investors in recent years.
Faber warned that massive wealth destruction is coming and that the 'Super-Rich' may lose up to 50% of their total wealth.
As Farrell astutely points out both Wall Street and Main Street investors invariable don't wake up ... till it's too late.
Farrell agrees with Faber that Bernanke's money printing will lead to a crash:
Final warning: Remember Dr. Doom's Rule One: Invest where you'll lose the least amount of money! Why? Because massive wealth destruction is coming. A time when the rich may lose up to 50% of their total wealth. With Bernanke the trigger.