JOB LOSSES HIGHER THAN EXPECTED

In overnight trading gold was lower but then turned around and moved back into positive territory after the jobs report. However, it then pulled back as the dollar recovered, while silver is up $.04. Although the dollar rebounded it is still down 36 basis points on the expectation that the Fed will continue to maintain low interest rates and easy monetary policy because the unemployment rate is not improving to any significant degree. The payrolls data was considered to be rather disappointing as the economy lost 85,000 jobs in December, which was much higher than expectations of 10,000. However, as the revisions to September, October and November came in, those jobless numbers were revised on an improving scale and that caused the dollar bounce and gold to ease back from its earlier highs.

Tom Kendall of Mitsubishi said that the jobless number "took the market by surprise for sure ... technically, it looks positive. I'd expect the rally to continue." Traders often buy gold as a hedge against dollar weakness said Tom Pawlicki, analyst with MF Global. The Dow Jones Wire Service reported that the payroll data seems to reinforce comments in the minutes of the December FOMC meeting released earlier this week, which indicated that policy setters expect economic recovery to be slow. If the Fed indeed remains on hold, then it should continue to provide bullish impetus to the metals market. Dow Jones Wire Service also reported, "Bank of Tokyo - Mitsubishi's Chris Rupkey notes massive number of discouraged workers, 843,000 - - had they been included in the work force, unemployment rate would be 10.5%. "A simply astonishing number that borders on the frightening," he writes."

Silver continues to look extremely bullish. If it closes above $18.37 it is likely headed back up to $18.42 according to Francis Bray of Dow Jones Wire Service. An analyst at Philips Securities in Singapore said, "I think gold is likely to continue its up trend due to fundamental demand from China and not because of dollar weakening." He clearly thinks that demand from China is going to continue increasing. He indicated further that gold is already in a deficit supply situation in China despite the country's status as the world's biggest gold producer. If we here in the United States offered gold at every bank and post office in the country in small denominations affordable for every person, gold demand in the U.S. would go through the roof as well. There will come a point in time when individual investors begin turning towards gold in a more aggressive manner and that would represent the point in time when gold prices will move exponentially. London Bullion Market Association analysts forecast gold will rise 23%. The average forecast high is $1,394.20.

Given the strength in the metals markets and the opportunity for them to move considerably higher, investors should be considering owning gold and silver at these levels. Call Goldline at 1-877-341-2646 for assistance with adding to your gold holdings. Be sure to ask about the Price Guarantee Program, which provides a two-week window of opportunity in which to re-price your transaction in the event of a correction. Also be sure to ask for the free information package, which contains outstanding information that will be helpful to all investors. In the information package you will find two new articles that offer information that you should read carefully. The first is from the Dow Jones Wire Service quoting the President of France who is demanding that the world move away from the dollar as the world's reserve currency and set up a new monetary system. The second is from BofA/Merrill Lynch where they quote the reasons why the Bank of England thinks that all central banks should own some gold. You will find that those reasons apply equally to individual investors. Call Goldline at 1-877-341-2646 now to receive the free information package.

If you would like to take advantage of the Price Guarantee Program, which provides you with a two-week window of opportunity in which to re-price your order in the event of a correction, you must select assets with some collectible value such as 20 Francs, Double Eagles and Silver Dollars. Call Goldline at 1-877-341-2646 for further information on the Price Guarantee Program.

To receive the free information package on gold investing, call Goldline at 1-877-341-2646. You will also receive the Client Account Agreement, a company brochure and a Coin Facts Risk Disclosure booklet. Read these carefully before you make a purchase. Call Goldline at 1-877-341-2646 now to receive your free gold investors package.