There's a lack of confidence in the dollar at this point, so a lot of the hot money is seeking the metals.

It certainly gives the idea that the Chinese might diminish demand for all kinds of goods, including the metals and energy. This raises concerns the Chinese might undertake a pattern of raising interest rates.

Everyone talks about a persistent production deficit, but at some point we are expecting supplies to move into surplus.

The gold market held its ground. That it stayed well above $600 in the face of the silver sell-off convinced investors that it's still involved in a bull market.

New buying comes in virtually every time gold turns around.

Most of this is new buying for the exchange-traded fund. That is playing a role in strengthening the market.