Gold Continues to Soar, Upside Potential Ahead

Gold and silver futures prices hit record highs due to safe-haven demand amid a jittery US banking system and worries about a US and/or global economic recession. The US stock market is sharply lower as risk aversion is keen late this week. The European Central Bank raised its main interest rate by a quarter-point, as expected. The US Federal Reserve's interest rate increase on Wednesday was no help for the US banking system, parts of which are shaky. PacWest Bancorp, a California-based lender, is in trouble, and its stock price saw a 60% decline in after-hours trading Wednesday.