Gold prices on Friday closed only about $3 below their all-time high, finishing the day at $1,255.10. The all-time closing high for gold is $1,258.30.
Crushing economic news during the week ensures gold will continue on its upward run in the near term, as news housing starts plummeted over 30 percent and the GDP in the u.S. was downwardly revised for the third time for the first quarter.
The news that jobless claims dropped some was being spun as a positive note, but the market knows that's a bogus claim, as the hiring of worthless census workers is all that's propping up that part of the market, and just like the tax break that increased housing sales, once that's gone the real health of the job market will be revealed, and it won't be pretty.
So while almost everyone agrees gold prices moving up in the long term is a surety, the data confirming the global and U.S. economy remain in shambles makes the short-term upward movement of gold prices a surety as well.
There will of course continue to be corrections and profit-taking in the gold sector, but overall support is there for gold and isn't going to go away any time soon.
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