Wednesday, January 4, 2017
Happy New Year it is for the long palladium traders. It’s up another $30 today and seems unstoppable.
Happy New Year it is for the long palladium traders. It’s up another $30 today and seems unstoppable. But truth be told the short selling that brought down the price was much heavier in volume than the light buying that is buoying the price now. This may be a sign that longs established at current levels may be at risk of failure. Gold is nowhere in comparison to palladium but it is still in bullish territory and looks to have more upside potential. The weakness of the European economy and the much favored US dollar will continue to hold gold to the upside. Today’s Federal Open Market Committee Minutes are probably the least important we have seen in the last six months. With 3 Fed presidents leaving and being replaced by what are considered more dovish persons, the questions will be, how often will they raise rates and what they may intimate about the possible Trump Presidency future influence on the economy. No surprise are expected so current upward trends are likely to prevail in the precious metals group.