-- Published: Tuesday, 7 January 2014 | Print | Disqus
| Close | Gain/Loss |
Gold | $1232.30 | -$6.50 |
Silver | $19.87 | -$0.30 |
XAU | 86.93 | -0.03% |
HUI | 204.25 | +0.18% |
GDM | 609.33 | -0.15% |
JSE Gold | 1038.48 | -31.64 |
USD | 80.85 | +0.21 |
Euro | 136.13 | -0.23 |
Yen | 95.65 | -0.34 |
Oil | $93.67 | +$0.24 |
10-Year | 2.937% | -0.024 |
Bond | 129.25 | +0.21875 |
Dow | 16530.94 | +0.64% |
Nasdaq | 4153.18 | +0.96% |
S&P | 1837.88 | +0.61% |
The Metals:
Gold climbed $6.40 to $1245.20 in Asia before it fell to as low as $1224.96 in morning New York trade, but it then bounced back higher into the close and ended with a loss of just 0.52%. Silver slipped to as low as $19.639 and ended with a loss of 1.49%.
Euro gold fell to about €905, platinum lost $4 to $1410, and copper remained at about $3.37.
Gold and silver equities fell about 2% at the open, but they then climbed back higher for most of the rest of trade and ended near unchanged.
The Economy:
Report | For | Reading | Expected | Previous |
Trade Balance | Nov | -$34.3B | -$40.4B | -$39.3B |
Rosengren Says Fed Exit From Stimulus Should Only Be Gradual Bloomberg
Yellen’s Record-Low Senate Support Reflects Fed’s Politicization Bloomberg
Tomorrow brings ADP Employment, FOMC Minutes, and Consumer Credit.
The Markets:
Charts Courtesy of http://finance.yahoo.com/
Oil saw slight gains on worries about unrest in the Middle East.
The U.S. dollar index climbed higher after this morning’s better than expected trade data, but it then drifted back lower in late morning trade on worries about tomorrow’s fed minutes.
Treasuries remained higher after today’s $30 billion 3-year note auction sold at a yield of 0.799% with a bid to cover of 3.25.
The Dow, Nasdaq, and S&P rose on hopes for positive jobs data over the next few days.
Among the big names making news in the market today were Apple, JPMorgan, and JetBlue.
The Commentary:
“Trying to get a read on the gold market has been a bit tricky since we have had to deal with end-of-the-year positioning and now, since the start of the year, index fund rebalancing of portfolios (along with front running of that buying by pit locals). Along with that we have had reports of strong demand for gold out of Asia. If that has not been enough, we all watched a massive selling barrage occur over a one second interval yesterday. Now today we are seeing evidence of the effectiveness of the capping that occurred at a technically significant chart level.
I am noticing a couple of things today that I thought I would share. First is that equities are soaring higher here early in the trading session. That has NOT been the case since the start of trading at the New Year. This is the first UP day in equities since last Thursday. Also, the Yen is weaker today. It did seem that there was a slight correlation between the downward bias in the broad equity markets and the recent strength in gold - a type of safe haven play, perhaps? Now that equities are moving higher today, gold is moving lower. That was pretty much the theme for the latter part of last year.
Another thing I am watching is the price action of the Australian Dollar of late. The Aussie is sometimes viewed as a type of proxy for the broad commodity complex. This stems from the nature of the Australian commodity which remains very dependent on the export of raw materials in general. Old time traders tended to watch the direction or bias of the Aussie to get a feel for where commodity prices (in general) were headed.
Take a look at the following chart of Gold vs the Aussie ( No, this is not a Mortal Kombat match - if it were, perhaps gold would have a killer combo move to break free!). Look at how closely the gold price has been tracking the Australian Dollar since the middle of last October. The two are moving almost in perfect sync. I do not know how long this relationship might last or even if it is foretelling anything at this point but it is something we may want to at least keep track of for potential, and I stress the word, 'potential' clues to gold's future fortunes.
When I see a chart like this, where one commodity is moving in pretty good sync with another, it tends to reinforce general trading themes in my mind and at a minimum, perhaps get a glimpse into the general sentiment, even if it is only for the shortest of terms. The one thing about trading these modern markets - the themes change faster than some politicians' convictions!”- Dan Norcini, More at http://www.traderdannorcini.blogspot.com/
GATA Posts:
Chinese FX expert says gold is a currency that China must dominate
Richard Russell: Is U.S. avoiding gold revaluation because it has lost its gold?
Mike Kosares: IRA rollover season -- a time to reap and a time to sow
Bill Holter: All the questions have the same answer -- Germany's gold is gone
Richard Russell's Dow Theory Letters takes note of GATA's work
MarketWatch reports suspicions of gold market manipulation
The Statistics:
Activity from: 1/06/2014
Gold Warehouse Stocks: | 7,828,111.891 | +707.30 |
Silver Warehouse Stocks: | 176,278,795.548 | +536,502.956 |
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$31,345m |
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$5,446m |
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$441m |
Johannesburg Securities Exchange (JSE) | New Gold Debentures | 41.88 | 1,346,506 | US$1,674m |
Note: No change in Total Tonnes from yesterday’s data.
COMEX Gold Trust (IAU) Total Tonnes in Trust: 161.83: No change from yesterday’s data.
Silver Trust (SLV) Total Tonnes in Trust: 9,909.49: No change from yesterday’s data.
The Miners:
Eurasian’s (EMXX) royalty partnership, Lake Shore’s (LSG) fourth quarter production, and Revett’s (RVM) update on its upcoming special meeting were among the big stories in the gold and silver mining industry making headlines today.
WINNERS
1. Turquoise Hill | TRQ +5.14% $3.27 |
2. First Majestic | AG +3.34% $10.53 |
3. New Gold | NGD +1.89% $5.40 |
LOSERS
1. Avino | ASM -7.75% $1.19 |
2. Eurasian | EMXX -4.67% $1.02 |
3. Almaden | AAU -3.85% $1.25 |
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
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-- Published: Tuesday, 7 January 2014 | E-Mail | Print | Source: GoldSeek.com
Gold Seeker Closing Report: Gold and Silver End Slightly Lower
