Advertise | Bookmark | Contact Us | E-Mail List |  | Update Page | UraniumSeek.com 

Commentary : Gold Review : Markets : News Wire : Quotes : Silver : Stocks - Main Page 

 GoldSeek.com >> News >> Story  Disclaimer 
 
Latest Headlines

Gold Seeker Weekly Wrap-Up: Gold and Silver Gain Over 1% and 2% on the Week
By: Chris Mullen, Gold Seeker Report

Ira Epstein's Metals Video 11 17 2017
By: Ira Epstein

Next-Generation Crazy: The Fed Plans For The Coming Recession
By: John Rubino

COT Gold, Silver and US Dollar Index Report - November 17, 2017
By: GoldSeek.com

Gold Miners’ Q3’17 Fundamentals
By: Adam Hamilton, CPA

Bonfire of the Absurdities
By: John Mauldin

The Social Security Inflation Lag Calendar - Partial Indexing Part 1
By: Daniel R. Amerman, CFA

Rob From The Middle Class Economics
By: Gary Christenson

GoldSeek Radio Nugget: John Williams and Chris Waltzek
By: radio.GoldSeek.com

The Metals Market Is A Mess And Will Likely Continue To Frustrate You
By: Avi Gilburt

 
Search

GoldSeek Web

 
Gold Seeker Weekly Wrap-Up: Gold and Silver Gain About 1% on the Week
By: Chris Mullen, Gold-Seeker.com

 -- Published: Friday, 3 January 2014 | Print  | Disqus 

 

Close

Gain/Loss

On Week

Gold

$1236.40

+$12.10

+1.83%

Silver

$20.16

+$0.19

+0.63%

XAU

86.63

-1.04%

+2.78%

HUI

203.49

-0.89%

+2.68%

GDM

607.36

-0.64%

+3.19%

JSE Gold

1086.54

+8.93

+6.54%

USD

80.89

+0.30

+0.68%

Euro

135.86

-0.83

-1.12%

Yen

95.44

UNCH

+0.36%

Oil

$93.96

-$1.48

-6.34%

10-Year

2.995%

+0.010

-0.37%

Bond

128.59375

-0.03125

+0.27%

Dow

16469.99

+0.17%

-0.05%

Nasdaq

4131.91

-0.27%

-0.59%

S&P

1831.37

-0.03%

-0.54%

 
 

 

The Metals:

 

Gold climbed over 1% to $1238.37 in Asia before it fell back to $1227.34 in London, but it then rose to a new session high of $1240.24 in New York and ended with a gain of 0.99%.  Silver surged to as high as $20.311 and ended with a gain of 0.95%.

 

Euro gold se to over €910, platinum gained $10 to $1408, and copper fell a few cents to about $3.37.

 

Gold and silver equities saw slight gains for most of the morning, but they then fell back off in afternoon trade and ended with modest losses.

 

The Economy:

 

All of this week’s economic reports:

 

Construction Spending - November

1.0% v. 0.9%

 

ISM Index - December

57.0 v. 57.3

 

Initial Claims - 12/28

339K v. 341K

 

Consumer Confidence - December

78.1 v. 70.4

 

Chicago PMI - December

59.1 v. 63.0

 

S&P Case-Shiller - October

0.2% v. 0.7%

 

Pending Home Sales - November

0.2% v. -1.2%

 

After trim to QE, Fed no less committed to stimulus: Bernanke Reuters

Lacker Says Fed to Consider Further Tapering at Coming Meetings Bloomberg

In wake of QE taper, Fed's Plosser dusts off inflation warning Reuters

Fed's Stein says shadow banking more prone to bank runs Reuters

 

Next week’s economic highlights include Factory Orders and ISM Services on Monday, the Trade Balance on Tuesday, ADP Employment, FOMC Minutes, and Consumer Credit on Wednesday, Initial Jobless Claims on Thursday, and December’s jobs data and Wholesale Inventories on Friday.

 

The Markets:

 

Charts Courtesy of http://finance.yahoo.com/

 

Oil fell after the Energy Information Administration reported that crude inventories fell 7.0 million barrels, gasoline inventories rose 800,000 barrels, and distillates rose 5.0 million barrels.

 

The U.S. dollar index edged higher on fed-speak that drove treasuries lower.

 

The Dow, Nasdaq, and S&P waffled near unchanged in quiet trade.

 

Among the big names making news in the market Friday were Boeing, AT&T, T-Mobile, Goldman Sachs, Deere, 3M, Jos. A. Bank, and Chrysler.

 

The Commentary:

 

There are a couple of things currently working in favor of gold for the time being. The first I noted yesterday which is index fund rebalancing as those fund managers benchmarking against the various commodity indices are forced to increase their holdings of gold contracts to bring their overall portfolios into line with the new index compositions. That is bringing buying into the gold market from a spec standpoint at the Comex.

The other is more important because it is longer-term in nature and that is the continued reports of very strong offtake of the physical metal in Asia. You might recall that back in June of the past year (2013), it was this soaring Asian demand that put a floor in the gold price when it had sharply fallen to $1180.

I was curious to see whether or not those same buyers were going to show up if gold revisited this area again. It certainly appears that they have.

Why this is important from a trading perspective is that the buying has come in at almost the exact level to the very dollar, namely $1180. I have written previously that this area on the price chart has as much significance from a purely Technical analysis perspective as did the $1530 level in gold. When the latter was violated, it resulted in a huge shift in sentiment in regards to gold and brought large selling into the market as long liquidation then commenced in size along with fresh shorting. The same thing will happen if $1180 gets violated and the market does not almost immediately reverse those losses and rebounds higher - namely, more long-side liquidation and more fresh short selling that will take the price down to near $1150 for starters and possibly to $1100. Remember, large specs are still net longs at the Comex.

So far $1180 is proving to have held, for now. What this looks like is the setting up of a range trade affair with the market moving back and forth between this floor near $1180 and resistance near $1242- $1245. If gold can crack the overhead ceiling, it stands a shot at making a run towards $1260 - $1265 based on short covering alone.

If the market fails to extend past $1242-$1245 odds will favor it dropping back to retest $1220, then $1210 and finally psychological support at the $1200 level.

I remain skeptical that gold prices are going to rally much higher because I believe it will shut off price sensitive buying out of Asia. Western investment demand for the metal is still not there and this requires Asia to do all the heavy lifting. Remember, Asia can bottom a market but it cannot by itself drive prices sharply higher. That requires WESTERN INVESTMENT demand and I do not yet see any strong signs of that.

Let's watch the price action, especially in the shares and see where we go from now. I am especially interested to see how the metal performs at the Comex when the index fund rebalancing is complete. That should be sometime towards the end of next week although the bulk of it is going on right now and should be wrapping up by early next week.

I am also watching silver to see how it holds because it too is benefitting from this same index fund rebalancing. However, with Chinese manufacturing data coming in weaker, according to the data released overnight, copper is struggling this morning and so is palladium. That is bringing some selling into the silver market. Together, the lackluster performance in the metals is eroding some of the gains in gold, especially in light of the firmer US Dollar.- Dan Norcini, More at http://www.traderdannorcini.blogspot.com/

 

GATA Posts:

 

 

Sean Fieler: How to challenge Yellen -- and big government

China Gold eyes Canadian purchase but says prices still steep

Alasdair Macleod: Time-preference and gold

Ted Butler: 2013 -- the year of JPMorgan

Rickards: No markets anymore but a lot of manipulation of gold

Jim Sinclair's next seminar will be Feb. 8 in Austin

 

The Statistics:

Activity from: 1/02/2014

Gold Warehouse Stocks:

7,827,505.251

-546.55

Silver Warehouse Stocks:

174,921,051.092

+413,568.66

 

Global Gold ETF Holdings

[WGC Sponsored ETF’s]

 

Product name

Total Tonnes

Total Ounces

Total Value

New York Stock Exchange Arca (NYSE Arca) AND Singapore Exchange (SGX) AND Tokyo Stock Exchange (TSE) AND Hong Kong Stock Exchange (HKEx) AND Mexico Stock Exchange (BMV)

SPDR® Gold Shares

794.621

25,547,853

US$31,525m

London Stock Exchange (LSE) AND NYSE Euronext Paris AND Borsa Italiana AND Frankfurter Wertpapierbörse (Deutsche Börse - Xetra)

Gold Bullion Securities

138.13

4,441,056

US$5,491m

London Stock Exchange (LSE) AND NYSE Euronext Paris AND Borsa Italiana AND Frankfurter Wertpapierbörse (Deutsche Börse - Xetra) AND NYSE Euronext Amsterdam

ETFS Physical Gold

152.66

4,908,200

US$8,004m

Australian Stock Exchange (ASX)

Gold Bullion Securities

11.16

358,789

US$444m

Johannesburg Securities Exchange (JSE)

New Gold Debentures

41.88

1,346,506

US$1,674m

Note: Change in Total Tonnes from yesterday’s data: SPDR subtracted 3.599 tonnes.

 

COMEX Gold Trust (IAU) Total Tonnes in Trust: 162.38: No change from yesterday’s data.

 

Silver Trust (SLV) Total Tonnes in Trust: 9,958.64: No change from yesterday’s data.

 

The Miners:

 

 

WINNERS

1.  Richmont

RIC +7.21% $1.19

2.  Northern Dynasty

NAK +5.93% $1.43

3.  Gold Resource

GORO +4.32% $4.83

 

LOSERS

1.  Rio Alto

RIOM -5.17% $1.65

2.  Eurasian

EMXX -4.31% $1.11

3.  Tanzanian Royalty

TRX -4.21% $1.82

Winners & Losers tracks NYSE and AMEX listed gold and silver mining stocks that trade over $1.

       

Please see Yahoo’s Mining/Metals News Wire for all of today’s mining news.

 

- Chris Mullen, Gold Seeker Report

 

- Would you like to receive the Free Daily Gold Seeker Report in your e-mail? Click here

Additional Resources for today’s Gold Seeker Report can be found:

© Gold Seeker 2014

Note: This article may be reproduced provided the article, in full, is used and mention to Gold-Seeker.com is given.

 

 

Disclosure: The owner, editor, writer and publisher and their associates are not responsible for errors or omissions.  The author of this report is not a registered financial advisor.  Readers should not view this material as offering investment related advice. Gold-Seeker.com has taken precautions to ensure accuracy of information provided. Information collected and presented are from what is perceived as reliable sources, but since the information source(s) are beyond Gold-Seeker.com’s control, no representation or guarantee is made that it is complete or accurate.  The reader accepts information on the condition that errors or omissions shall not be made the basis for any claim, demand or cause for action.  Past results are not necessarily indicative of future results.  Any statements non-factual in nature constitute only current opinions, which are subject to change.  Nothing contained herein constitutes a representation by the publisher, nor a solicitation for the purchase or sale of securities & therefore information, nor opinions expressed, shall be construed as a solicitation to buy or sell any stock, futures or options contract mentioned herein.  Investors are advised to obtain the advice of a qualified financial & investment advisor before entering any financial transaction.

 


| Digg This Article
 -- Published: Friday, 3 January 2014 | E-Mail  | Print  | Source: GoldSeek.com

comments powered by Disqus



 



Increase Text SizeDecrease Text SizeE-mail Link of Current PagePrinter Friendly PageReturn to GoldSeek.com

 news.goldseek.com >> Story

E-mail Page  | Print  | Disclaimer 


© 1995 - 2017



GoldSeek.com Supports Kiva.org

© GoldSeek.com, Gold Seek LLC

The content on this site is protected by U.S. and international copyright laws and is the property of GoldSeek.com and/or the providers of the content under license. By "content" we mean any information, mode of expression, or other materials and services found on GoldSeek.com. This includes editorials, news, our writings, graphics, and any and all other features found on the site. Please contact us for any further information.

Live GoldSeek Visitor Map | Disclaimer

The views contained here may not represent the views of GoldSeek.com, its affiliates or advertisers. GoldSeek.com makes no representation, warranty or guarantee as to the accuracy or completeness of the information (including news, editorials, prices, statistics, analyses and the like) provided through its service. Any copying, reproduction and/or redistribution of any of the documents, data, content or materials contained on or within this website, without the express written consent of GoldSeek.com, is strictly prohibited. In no event shall GoldSeek.com or its affiliates be liable to any person for any decision made or action taken in reliance upon the information provided herein.