PRECIOUS METALS FUTURES UPDATE

Gold was spurred by the rallying oil where inflation hedgers entered the market, and by the increased Asian and middle East physical demand.

We expect both Silver and gold to move higher as we have entered positive territory breaking out of the range trading seen for some time.

Silver in a medium term trading should see 12.00 - 12.040 oz level in December contracts where a good entry point would be 12.500 oz

Gold support at 602,80 looks like it will hold where market in medium term should test the $615 oz level and in the longer perspective $625/oz