Gold plays around $1600 - $Silver 40 - Corporate Worship is Mandatory - HMY - Currencies - Mexico Scares Me

 We, as the people of God, are required by Him to join in corporate worship of the Triune God each Lord's Day. It is a time of giving special emphasis to the worship of the Him, hearing His word, practicing in the two Sacraments ordained through Jesus Christ, participating in hymn singing, sharing fellowship with His people, and receiving encouragement and challenge which plays out in our lives the rest of the week. 

Of course, our entire life is to be a worship of God in His way, only, for His glory and the furthering of the Kingdom of Jesus Christ. For us to know and develop the world and life view that He requires, we must diligently study His word under the guidance of the Holy Spirit. Not one of us studies and knows the bible as we really should. It must become such a preeminent power in our hearts that we will hate sin as God, Himself does. We would then be ready to meet every challenge of Satan for our heart.

Further, we would grow ever more able to share with others the true love which comes from King Jesus to His people. We would then fully develop of watchmen revealing the gravity of sin in the world, and offering the wonderful grace of the gospel through our words and actions. 

In the markets today, we see that our precious metals are again flexing their muscles in spite of a stronger (albeit temporary) dollar. The miners are putting in a good showing against a falling general market. 


It seems as though gold must play around the 1600 level for a time, perhaps, to regroup and get ready for the Fall good season for metals. The deficit, spending binge of our governments, worries about the PIIGS in Europe, the wars in the Mid-East, the deadlock on the debt level increase, etc. tend to make the unbacked paper currencies run for safety into real money: gold an silver. 


The debt level will be raised, and very likely before August 2nd. There will much bragging in Washington over this action. There will be much rhetoric about the lowering of spending which will be a farce. Then business, as usual, will continue in Washington with increased spending, more debt, and more devaluation of the dollar as the new "QE" will receive a call for action.

MineWeb:
Gold hits record $1600 and silver back through $40 in London - GSR 40:1
Gold hit $1600 in London this morning and silver $40, although both fell back thereafter. But the barrier has been breached which would seem to be paving the way for further rises ahead. We may be doing the stair Two Step again. You know, two up, one down, etc. When we see a break through above 1750 or so, or even, big daily jumps of $50-$100 a day, you will know that the Gold Rush has started. Then the miners will really take off. HERE.

Comex silver longs bound higher - but much of it is short covering

Specs are buying silver again and there has been some renewed nibbling in the silver ETFs but, there has also been some substantial short-covering which could see this latest move prove deceptive. Hope that the bullion banks are being forced to cover shorts, but most of them are two involved to be caught with shorts for long. I imagine that the covering is mostly by small investors and a few funds. HERE.

Weekend Top Story: Silver 'biscuits' - the booming new Indian gifting option
India's consuming class has taken to high denomination silver currency notes and dollar bills of the white metal in favour of staid old silver coin as a gifting alternative to expensive gold. Gold too high? It will eventually go much higher. Silver remains the poor man's gold. HERE.

Price of gold to hit $1700+ in next few months -Technical analysts
Various technical analyses see gold continuing its upward path over the next few months to reach a level of $1700 and above in line with previous rallies. Very likely it will surpass 1750, possibly 1800 this year. Be ready for this to happen. HERE.

Tier 1 gold miner, Harmony Gold says June quarter output up 3%
South Africa's No. 3 gold miner sees June quarter output up, but notes costs are rising and could see industrial action over pay in the current quarter. Some good news about core holding Harmony (HMY). HERE.

Mexican silver refinery shooting kills four as drug wars spill into mining sector
Four subcontractors working at MetMex Penoles silver refinery were targeted and killed by gunmen as Mexican drug war battleground expands. I have often thought for a moment or two about going over into Mexico. Then I see another of these red flags and wonder "How long, O' Lord?" Of course, our concern should be about the border battles and war that is being fought along our juncture with Mexico. Perhaps, some day we will call our empire holders from abroad and station them along our borders to reinforce the out gunned Border Patrol and truly protect our citizens from the Mexican invaders. I truly have and respect many friends from Mexico and that heritage, but the border situation is more serious than Washington seems to realize. HERE.

Miners from Scottrade:

Currencies from KitCo:

Some Prices: DOW off 127.34 to 12352.21; S&P off 12.69 to 1303.45; NASDAQ off 30.74 to 2759.014; Gold 1600.20 up 6.10; Silver 40.34 up 1.07.

Best to each, Doug