Gold nears $1700 and Silver $32 on Fed Babble

Gold finished the week at $1690 up from the Comex close on Thursday of $1655, a gain of 2.1%. Silver finished the week at $31.68 up from the Comex close on Thursday of $30.37, a gain of 4.3%

Gains were attributed to babble from Fed Chairman, B.S.Bernanke saying words to the affect that the Fed might further stimulate the economy with money for nothing, if everyone asked reeeally nicely and turned their jeans pockets out, but would still have to think about it for a bit even if we did.

Markets took this as a positive sign of future debasement of the world's reserve currency and re-priced US$ assets to offset the expected decrease in value of the US$. The circus now awaits the outcome of  the Fed's next meeting on 12-13 September.

Charts from goldprice.org