We promised to let you know about our thoughts on the situation in the precious metals market after each trading day until the release of the new website, so here we are.

There is not much to report on, though. We saw a small pullback in metals (especially in platinum) today, but is this already the beginning of a correction? Not necessarily.

The previous highs were not reached. The miners are still outperforming metals (GDX moved slightly higher despite metals' downswing), metals declined on relatively low volume (compared to the volume that accompanied previous upswings), platinum's huge decline is not so huge if one compares it with the size of the previous rally, and USD didn't reach its 2012 low just yet.

Consequently, we are very much in the same place where we were based on Friday's market close and our views on the market did not change.

Summing up, it seems that the precious metals sector might move only a bit higher before correcting, which is in tune with what we wrote in the latest Premium Update. We continue to believe that being in the precious metals sector with one's long-term investment capital and waiting on the sidelines with one's speculative capital is a good idea. If we get additional bearish signals, we will probably suggest betting on the temporary downswing, but that is not the case just yet.

Thank you.

Sincerely,
Przemyslaw Radomski, CFA