Gold faced selling pressure yesterday afternoon due to all the shorts in the market and investors re-balancing positions for year-end tax purposes.

Gold faced selling pressure yesterday afternoon due to all the shorts in the market and investors re-balancing positions for year-end tax purposes. Since equities are at all-time highs, traders sold off the AU to realize losses to offset their capital gains. AU continued to decline until the end of the day due to a stronger U.S. Dollar and the Fed’s decision to begin tapering in January. AU futures fell more than 3%- lowest level in over 3 years. Investor sentiment for the yellow metal remains bearish since its appeal as a hedge against inflation has waned. Buying into the AU during this downtrend is like catching a falling knife-there is a lot of risk involved in this type of scenario. If buying the dip is timed correctly it can be rewarding, but if gold prices fall faster than predictions you run the risk of cutting some fingers off!! Since gold broke below 1200, we can expect to see testing levels between 1200-1180.  AU is down approximately 30% for the year while the S&P 500 is up more than 26% for the year. Looks like investors felt it was a better bet to flee from AU and put their money into equities. Third quarter GDP is up 4.1%. Have a wonderful weekend and Happy Holidays to those of you who are on vacation until next year.

Yesterday the Fed announced to take baby steps and begin winding down its asset purchase program in January.

Yesterday the Fed announced to take baby steps and begin winding down its asset purchase program in January. The Fed will cut its QE pace next month to $75B on improved job market outlook reducing Treasury and MBS purchases by $5B each. Although this is a modest tapering, we knew the Fed would begin tapering, we just didn’t know when. Gold had a knee-jerk reaction once the minutes were released plunging to the 1220 level and bouncing back up to a high of 1244 just moments later. The Fed remains dovish on rates and wants to keep the federal funds target rate between 0-.25% as long as the unemployment rate remains above the  6.5% threshold  and inflation doesn’t exceed more than a half percentage point above the 2% long run target range. The markets rallied by more than 290 points after absorbing the news with the DJIA closing at a new high of 16,167.97. Markets welcomed the tapering with open arms as they should since this cut back can stimulate confidence into the economy. Bernanke’s “timeline” is to continue having a systematic month to month tapering at increments of $10B/month as long as economic data meets expectations. Janet Yellen, the soon to be Federal Reserve Chairwoman, supports Bernanke’s decision of a modest cutback since the economic recovery still remains far from complete. Initial jobless claims for the week ending 12/14 are at 379,000 vs. last week’s claims of 369,000. Gold continues to head towards a downward path as we are currently watching it break under 1200!

Have a wonderful day.

Today the Fed begins its 2 day meeting. The overall market consensus is that the Fed will continue its quantitative easing program.

Today the Fed begins its 2 day meeting. The overall market consensus is that the Fed will continue its quantitative easing program.  Currently, there are several speculative short positions in the market. If the tapering kick off doesn’t begin at the December meeting, analysts expect to see a short covering rally. The markets are under pressure this morning with AU, AG, PT, PD trading  approximately 1%, 1.6%, .50%, and .40% on the downside respectively. Gold saw some selling pressure yesterday afternoon closing at 1245.50. The yellow metal continues to trade sideways and remain in a bear market with support levels at 1200. Other than traders adjusting their positions before the Fed meeting, it’s a relatively quiet day. Core CPI  for the month of November is .2%. This figure is particularly important for the Fed to analyze during its meeting because it will tell members if inflation is maintained or if it’s something they need to pay closer attention to. Have a great day!

The precious complex continues to search for direction ahead of the final FOMC meeting of 2013 that will conclude on Wednesday.

The precious complex continues to search for direction ahead of the final FOMC meeting of 2013 that will conclude on Wednesday. Chairman Bernanke and his cohorts will gather one last time before year end to drink some eggnog, exchange Pollyanna gifts and discuss whether recent economic data would warrant a taper of current monetary stimulus. 203,000 jobs were added to the payrolls in November with unemployment falling to 7%. However, the labor force participation rate remain dismal and first time unemployment filings rose 68,000 in the first week of December. Q3 GDP came in at 3.6% but growing inventories are the proverbial wolves in sheep’s clothing as the more accurate number was closer to 1.9%. Some would also point to the recent budget deal as a positive sign for a December taper but in reality it does little to address the real issues that are plaguing this country and, with just a few months before another government shutdown/debt ceiling faceoff,  baby steps just won’t cut it. The DJIA is up more than 100 points to start the week while gold is making another break for $1250 and currently trades $1248 after closing Friday’s session at $1234.60. Platinum and palladium have fought back some early losses this morning with platinum near flat to Friday’s close and palladium up $2 to $718. Have a great day!

 

Gold has been down over 25% this year. YTD AU has not seen such negative performance since 1981.

Gold has been down over 25% this year. YTD AU has not seen such negative performance since 1981. Bears feel that AU will slip below $1,200 and bulls predict that AU has the possibility to reach as high as $2,000.  We expect to see a continuation of short covering in the markets until the Fed  meets on Dec 17-18, which is when investors will re-evaluate their positions. The strong retail figures from yesterday increase the likelihood that the Fed can begin tapering at its next meeting, however market consensus is that a reduction in monetary stimulus will be seen in March 2014. In 2013, PD saw some gains primarily for 2 reasons: strengthening auto markets in U.S. and China and South Africa supply concerns. PD is expected to continue to remain in deficit in 2014. This is good news for PD because a decrease in supply means higher prices! November’s PPI (MoM) met expectations of -.1% so no surprises there. It’s Friday the 13^th so be sure not to walk under any ladders J

Official (1/4 oz.) Sochi Olympic Games gold coin

Official (1/4 oz.) Sochi Olympic Games gold coins authorized by the Central Bank of Russia and the XX11 Olympic Games. Limited edition of 20,000 coins.

Denomination 50 Rubles
Metal: 999 Gold
Weight: 7,89 gram
Diameter: 22,6 mm
Mintage: 20.000

Looks like we will continue to see gold bouncing around until we get a better answer of when tapering will occur.

Looks like we will continue to see gold bouncing around until we get a better answer of when tapering will occur. What could possibly stop the Fed from tapering between now-March? The job numbers released last week exceeded expectations, the auto industry is doing well, and if Congress passes a budget deal the Fed has no reason not to taper! Gold is trading on the downside this morning as a possible U.S. budget deal means that there will not be another government shutdown and thus, increases the likelihood of an early stimulus reduction. AG, PT, & PD are following the AU leader and trading in the negative territory this morning. Lately, we have seen bullish moves in AU due to a weakening U.S. Dollar. The USD will see gains from current levels if the Fed trims back on its monetary stimulus. If the Fed shows signals that the economy is strengthening and doesn’t need help from the central bank, the US Dollar should see some upward movement. Retail Sales (MoM) are up .7% for the month of November and the number of people who filed for unemployment last week increased by 68,000 to a seasonally adjusted 368,000. Have a great day!

Gold saw a spike yesterday due to a weaker dollar and a short covering rally.

Gold saw a spike yesterday due to a weaker dollar and a short covering rally. Funds wanted to cover their short positions before the Fed’s policy meeting on Dec 17-18^th. Stops went through AU at the 1250 level.  We still expect to see some downward pressure on the yellow metal as there are talks about tapering happening as early as this month. Labor tensions continue in South Africa, the world’s largest producer of Platinum. The AMCU already received permission to strike at Anglo and Impala, but now they even got permission from a government mediator to strike at Lonmin. The precious metals market was able to hold its momentum yesterday as AU, PT, PD, AG futures settled at 1261.10, 1388.70, 738.45, 20.315 respectively. Financial regulators have finally approved the long awaited Volker rule! The purpose of the Volker rule is to restrict banks from engaging in risky investments with the firm’s money for their own benefit (proprietary trading). Have a wonderful day

If we see any drastic movement in gold from now until Dec 17-18, it is most likely because investors are getting signals of when tapering will occur.

If we see any drastic movement in gold from now until Dec 17-18, it is most likely because investors are getting signals of when tapering will occur. James Bullard, President of the Federal Reserve Bank of St. Louis, discussed that the Fed is likely to scale back its asset purchase program sometime soon given the positive economic data released last week. According to Bullard, a small possible tapering could be seen in the next meeting. Let’s face it, the Fed can’t inject money into the economy forever! By initiating a small taper, the Fed acknowledges an improvement in the labor market and still has a chance to monitor inflation. Bullard believes a small taper is a good idea because if inflation doesn’t meet target levels then the Fed can simply put tapering on pause. The Fed promises to keep interest rates near zero even when quantitative easing is over as long as the unemployment rate falls to 6.5% and inflation doesn’t climb above 2.5%. Richard Fisher, President of the Federal Reserve Bank of Dallas thinks that the Fed should begin tapering ASAP accompanied by a timeline of when markets can expect see an end to the asset-purchase program. Despite all the taper chatter, we see gold still manages to hold its gains from yesterday! This suggests that perhaps traders aren’t as nervous about what the Fed’s next move could be. PT seems to be following AU’s upward momentum and broke through $1400 this morning. Have a great day!

Friday’s strong job report was good news for the market.

Friday’s strong job report was good news for the market. The DJIA closed at 16020.20 and the S&P 500 at 1805.09. We saw a decline in the unemployment rate on Friday and this time it was due to people actually finding jobs and not discouraged workers exiting the labor force because they are tired of looking for a job! The overall sentiment is that the economy is doing better, but is not completely out of the hole just yet.  Approximately 1 million jobs were created in low wage sectors such as retail, leisure, hospitality, and certain healthcare sectors (home health care & nursing homes). Investors will continue to keep a close eye on economic data for any signals of the Fed pulling back on its stimulus. Economists expect the Fed to begin tapering in March 2014. The dollar is  currently down ~.1%  vs. basket of currencies. Gold along with AG,PT & PD are all trading on the upside this fine Monday morning. Have a great day!!

It was an interesting day yesterday as stocks were trading on the downside and precious metals rallied.

It was an interesting day yesterday as stocks were trading on the downside and precious metals rallied. We saw conflicting economic reports- ADP Payrolls Report showed that 215,000 private-sector jobs were added, but the ISM Non-Manufacturing PMI of 53.9 had the weakest reading since July. The ADP report signifies that a strong job report is likely to be seen on Friday, but the ISM indicates that businesses and consumers are cautious about their spending habits.  Gold had a knee jerk reaction yesterday in response to the ADP report and fell 5 bucks but reversed losses due to a short covering rally and greater global physical demand. The PGMS found support as money came out of stocks and went straight into gold. According to the Federal Reserve’s Beige Book Report, the economy is expanding at a “modest to moderate pace”. If Friday’s job numbers are sturdy, the Fed could begin tapering as early as December. This week’s initial jobless claims fell to 298,000 vs. 325,000 forecast. Gold is back to trading on the downside as the short covering rally is over and tapering fears are kicking in. The Fed’s policy-setting meeting is set to take place on Dec 17-18^th and the National Union of Mineworkers and Northam PT are having their meeting on Dec 5^th to settle their ongoing minimum wage dispute. Have a wonderful, wonderful day J

U.S. car sales increased by 9% in November compared to last year, due to their promotional tactics.

U.S. car sales increased by 9% in November compared to last year, due to their promotional tactics. Detroit’s Big 3 reported better than expected U.S. auto sales for the month of November. Sales for GM, Ford, and Chrysler (a unit of Fiat) rose by  approximately 14%, 7%, and 16% respectively. As a result, PT & PD saw a boost in prices. If the auto industry continues to do well, PD should see some significant support. Gold hit a new five month low this week and continues to lose its ground even though it was able to break through its $1,220 resistance level. Silver seemed to follow gold’s path yesterday since it failed to see an uptick despite news of an increase in Indian AG imports. If gold trades below the $1,200 support level, it could hit a new yearly low and probably spur some physical buying. Economists believe the shiny yellow metal could test this level if Friday’s job number hits the 200,000 mark since positive economic data triggers tapering fears. There is a good chance we could see this happen since the U.S. Economy added 215,000 private-sector jobs in November, according to the ADP National Employment Report. Stay tuned for the New Home Sales at 10:00 a.m.

The precious metals are all trading slightly on the downside today. Yesterday’s ISM Manufacturing PMI for November was better than October’s results. The ISM Manufacturing PMI for November was 57.3 compared to October’s figure of 56.4. Gold broke new trend support levels after this positive economic data was released. The overall sentiment for gold remains to be bearish as investors expect a further decline in the yellow metal. Any positive economic data released from now until Friday signals that tapering is bound to occur putting pressure on gold prices. Economists believe the strong ISM number is due to better housing and construction data along with stronger exports data. Physical demand for AU has been very light due to expectations of a further price drop. Let’s see what tomorrow’s ADP Nonfarm Employment Change is as this is a good predictor of what Friday’s Nonfarm Payrolls will look like. Have a great day!

If you turn on the TV or pick up the paper, all you see is headlines about Black Friday.

If you turn on the TV or pick up the paper, all you see is headlines about Black Friday. Wal-Mart, Macy’s and J.C. Penney saw decent store traffic by opening up on Turkey Day, but perhaps doing so may have cut into Black Friday sales! Total Online Sales (YoY) grew about 19.7% on Thanksgiving Day and ~19% on Black Friday. According to an IBM survey, purchases via mobile devices increased by 40% compared to last year. The overall sentiment is that it is supposed to be a good year for retailers as there are still 23 more shopping days left for Christmas! The stock market had a great November with the DJIA and S&P 500 near record highs. Bulls expect stocks to perform even better in December. Precious metals are currently trading on the downside this morning. Gold saw a drop on speculation a stronger U.S. economy could signal tapering to occur as early as December. I guess we will have to wait until Friday when the Nonfarm Payrolls data comes out to determine if the Fed will begin paring its asset purchase program. For those of you who didn’t get to do any shopping this weekend, stay close by your computers for Cyber Monday J Have a great day!

Very quiet day in the precious metals market as people are traveling to be with their families

Very quiet day in the precious metals market as people are traveling to be with their families for Thanksgiving. The metals are trading on the upside this morning as the dollar moved lower. The October Consumer Confidence index of 70.4 was lower than the forecast of 72.9. Gold saw a slight boost right after this data was released. Technical analysts believe to see a further drop in the price of AU as long as it continues to trade below the $1300 mark. China is expected to supersede India as the largest AU consumer of the year since the Reserve Bank of India (RBI)  introduced the rule that 20% of imported gold must be exported. Core Durable Goods Order (MoM) fell .1% and the Initial Jobless Claims of 316,000 was better than the expected forecast of 330,000. Market activity is expected to pick up next week as there is more data to keep an eye out for. Happy Thanksgiving!!!!!!

Home Depot, Wal-Mart, and Target reported their 3rd quarter earnings yesterday.

Home Depot, Wal-Mart, and Target reported their 3^rd quarter earnings yesterday. Although the retailers are doing better than last year, they are still not performing as per expectations. Realtors believe yesterday’s Pending Home Sales (MoM) were down .6% due to the government shutdown. Gold prices were down Monday morning after news about Iran halting its nuclear activity was released but bounced back up in the afternoon due to short covering and options related buying. All the metals with the exception of PD are trading on the upside today. The AMCU (Association of Mineworkers and Construction Union) have postponed talks about a possible strike over wages and will bring the topic back up for discussion in January. The Consumer Confidence numbers come out at 10:00 a.m. today. Other than that, it’s expected to be a quiet week in the markets as people are getting ready for Turkey Day.

 

It seems to be a gloomy day in the metal markets with AU, AG,PT, and PD trading on the downside.

It seems to be a gloomy day in the metal markets with AU, AG,PT, and PD trading on the downside. Earlier this morning Iran and six major powers agreed for Iran to halt its nuclear program. As a result, oil prices have declined and the dollar is on the rise this morning. Gold fell approximately 1% after the Iran deal was sealed and continues to face downward pressure as investors are concerned that the Fed could begin tapering as early as next month. The next support level for gold is at 1209.40. As you can see the overall sentiment for gold is bearish and investors continue to pay close attention to key macroeconomic data. The short term relative strength index indicates an oversold market for AU & AG.  Pending Home Sales (MoM) figures come out at 10:00 a.m. and we are just 3 days away from Turkey Day!

The DJIA crossed the 16000 mark for the second time this week during intraday trading

 

The DJIA crossed the 16000 mark for the second time this week during intraday trading,  but fell .4% after the Fed minutes were released yesterday afternoon. Officials have indicated that tapering is coming in the next few months if economic data meets expectations. Investors are not concerned if tapering is coming, but are more concerned of when it will indeed happen. St. Louis Fed President James Bullard mentioned a solid November jobs report would increase the possibility of the Fed paring its bond purchases at next month’s meeting. Gold hit a four month low of 1,240.69 yesterday as nervous investors were in a sell off mode. Silver fell through its $20 level after 3.5 months putting additional pressure on the metal this morning. Platinum hit a new one month low yesterday of 1391.70. The PPI (MoM) for October fell .2% and the initial jobless claims fell by 21,000 with a figure of 323,000 from the previous week’s claim of 344,000. Palladium is the only metal trading in the positive territory at the moment. Have a great day!

The metals are trading in the red zone this morning.

The metals are trading in the red zone this morning. Gold fails to trade in the positive territory despite Bernanke’s dovish comments last night at the National Economics Club Annual Dinner. Although the economy has improved since the recession, Bernanke mentioned it is far from where officials want it to be and thus, it will take time for monetary policy to return to normal settings. Since the announcement of the asset purchase program, unemployment has fallen .8 percentage point and roughly 2.6 million payroll jobs have been added. The FOMC expects labor conditions to further improve and for inflation to move towards the 2% objective over the medium term. If data supports the FOMC views, tapering shall begin. Until then, the FOMC will keep its policies for as long as needed. Overall, there is currently minimal support for gold due to weak physical demand and a lack of major economic data. Investors will pay close to attention for “surprises”  in the Fed minutes, which will be released at 2:00 this afternoon. CPI (MoM) is down .1% for October and Retail Sales (MoM) are up .4% for October. Silver, Platinum, and Palladium are following Gold’s downtrend trading at negative levels of .24%, 1.11%, .68% respectively. Existing Home Sales figures will be released at 10:00 a.m. Have a great day!

A quiet morning in the commodity markets with metals trending slightly lower.

A quiet morning in the commodity markets with metals trending slightly lower. Gold and silver tested the $1275 and $20.50 respectively this morning and found decent support on light trading volumes. Global equity markets are also taking a wait and see attitude after the record run up in the US Equities last week on Fed Chairwoman Yellen’s Senate confirmation hearing in which she pledge to continue QE until significant better US economic data. Markets will be waiting for more data later this week on US CPI, retail sales, and existing home sales on Wednesday. Traders will also be watching the FOMC meeting minutes to see if there are any clues about potential Fed tapering talk for December or into 2014. We sense hesitance on the part of traders to commit fresh capital into establishing a new position while metals are treading within the current trading ranges. Thanks.   

It is apparent, from recent comments by certain Fed members, that the FOMC remains a house divided when it comes to the topic of stimulus tapering before year-end.

It is apparent, from recent comments by certain Fed members, that the FOMC remains a house divided when it comes to the topic  of stimulus tapering before year-end. However, these circumstances are nothing new as market participants have never really received a definitive answer as the direction of taper talk seemingly changes with the ocean tides. Nonetheless, said market participants are left to ponder the uncertain future and Friday’s staggering NFP numbers remain a thorn in their side, at least until Novembers numbers come out and the true October NFP’s are known. Let’s all just remember the 2.5% inflation and 6.5% unemployment targets set by Chairman Bernanke and his cohorts. Pressure on gold remains to the downside in the near term, at least until Janet Yellen speaks at her confirmation hearing tomorrow.  The PGM’s remain rather subdued despite ongoing labor tensions in South Africa and a report, released by a company that needs no introduction, that forecasts a deficit in Pt in 2014. Have a great day!

Friday’s NFP data quickly thrust the prospects of Fed tapering back into the grey area of economic certainty as 204,000 people were added to the payrolls in October while the unemployment rate moved to 7.3%

Friday’s NFP data quickly thrust the prospects of Fed tapering back into the grey area of economic certainty as 204,000 people were added to the payrolls in October while the unemployment rate moved to 7.3% and labor force participation remained at levels not seen since the late 1970’s! Gold broke through the $1300 support level and closed Friday’s session at $1284.60 while the DJIA rallied to a new record of 15,761.78. The precious complex continues to point lower to start the week but given that U.S. treasury markets are closed for Veterans Day here in the U.S. and the lack of any exciting corporate or economic news, it could be a rather quiet day. Janet Yellen takes the stage later this week but don’t expect any fireworks over anything she might say during her confirmation hearing, investors are focused on Decembers meeting and for now, it’s still the Ben Bernanke show. Have a great day and to those who have served this great nation in our Armed Forces, a very Happy Veteran’s Day to you and your families!

Is it cliché to say, “expect the unexpected”?

Is it cliché to say, “expect the unexpected”? While yesterday’s unexpected events – The ECB rate decision and US GDP data – weren’t enough to get the metals to break from their stubbornly held ranges, this morning’s release of October Non-Farm Payroll data could change the tone of the markets “wait and see” approach ahead of Decembers FOMC meeting. October job creation came it at net +204K jobs, which makes you wonder if those “polled economists”, who guestimated just 120,000 jobs added, were worried more about what price they should get in on the Twitter IPO than accurately predicating employment figures. However, their prognostications could eventually be acquitted as history has shown we wouldn’t be going too far out on a limb to expect the inevitable downward revision come the first week of December. Unemployment remained at 7.3%. September consumer spending rose .2% but continues to lag behind incomes that rose .5%. at 9:55 am market participants will take in consumer sentiment data.  Gold is down nearly 1.5% from yesterday’s close of $1308.50. Platinum is approaching 1% down on the day but continues to find some cushion to the downside as the National Union of Mineworkers are still on strike at Northam and the AMCU wage talks remain deadlocked. Have a wonderful weekend!

If you are watching CNBC this morning you would think the world revolves around the company Twitter.

If you are watching CNBC this morning you would think the world revolves around the company Twitter. While the media is focused on the equity markets and the Twitter IPO, traders in the commodity market continue to play the range game. Here is a recap of the news this morning:

 

1.       Bank of England kept the interest rate at 0.50% and kept their bond purchasing program steady

2.       European Central Bank surprised the markets by cutting interest rate to 0.25% from 0.50% and signaled that they will keep interest rates low for as long as necessary   

3.       US weekly initial jobless claims at 336k and continuing claims at 2868k

4.       US GDP grew at 2.8% in the 3^rd quarter faster than most estimates

5.       US personal consumption grew at 1.5%, less than expected

6.       GDP price index increased at 1.9%, more than expected

 

ECB is focused on not letting the European economies slip back into recession and pump maximum liquidity into the markets. Lack of inflation and stubbornly high unemployment rates are causing concerns. US economy grew at a faster pace in the 3^rd quarter due to increase in inventory levels but there are underlying signs of weakness from business to consumer spending. Economic and political uncertainty in the US have been affecting business and consumers alike. US job markets are showing signs of life but the real unemployment rate and the quality of the jobs being created are both being debated. After all these data, we are right back at where we started… waiting for more “convincing” data to point us to the direction of the US and global economies and further central bank actions. Precious metals continue to trade in a range, gold $1300-$1325, silver $21-$22, platinum $1425-$1475, and palladium $725-$765. Any attempts to break these ranges have so far been met with stiff counter moves. We anticipate gold and silver to trade slightly lower on continuing debate over US FED bond purchase tapering. Platinum and palladium will move depending on next sets of economic data out of China and Europe with South African mine strike news in the background. We believe traders will continue to trade the ranges and jump heavily into a position once data becomes clearer.

The precious complex is on autopilot today

The precious complex is on autopilot today as there’s little in the way of economic news to get market participants off the sidelines. The atmosphere should be rather calm ahead of the rate decisions by both the Bank of England and the European Central Bank on Thursday. Also on tap for the latter half of the week is 3^rd Quarter GDP data, also on Thursday, and the highly anticipated Government Non-Farm Payroll data on Friday. Just released ISM service sector index posted a 55.4 last month, beating expectations of a slight pullback and coming in a full 1% higher than Septembers reading. Gold is trading .5% lower from Monday’s close of $1314.70, having pushed as high as $1320.60 in overnight trading. The PGM side of the complex remains unfazed by ongoing strike action in South Africa and the potential for more. Platinum is just $6 lower from yesterday’s close and now trades $1450. Have a great day!

The Institute for Supply Management wasn’t about to let market participants ease into the weekend as October’s manufacturing index

The Institute for Supply Management wasn’t about to let market participants ease into the weekend as October’s manufacturing index, released Friday, beat expectations and climbed from 56.2% to 56.4%, a level of expansion not seen in more than two years. The resulting pressure on the EUR/USD relationship held gold to a close of $1313.20. The yellow metal began last week above $1350. The metals complex looks to be starting this week in a rather calm fashion following last week’s bumpy ride. Platinum is in the spotlight this morning as the National Union of Minworkers (NUM)have downed tools at one of Northam Platinum’s mines as of Sunday night. The strike action comes amid Association of Mineworker and Construciton Union’s (AMCU) potential strikes at Anglo, Impala and Lonmin, the world’s largest platinum producers. The white metal has been relatively subdued, trading modestly higher from Fridays close of $1451.90.Factory order data from August/September are on tap for today but arguably more important data, including 3^rd Quarter GDP and October unemployment figures, will greet market participants toward the end of the week. Have a great day!

The Institute for Supply Management wasn’t about to let market participants ease into the weekend as October’s manufacturing index

The Institute for Supply Management wasn’t about to let market participants ease into the weekend as October’s manufacturing index, released Friday, beat expectations and climbed from 56.2% to 56.4%, a level of expansion not seen in more than two years. The resulting pressure on the EUR/USD relationship held gold to a close of $1313.20. The yellow metal began last week above $1350. The metals complex looks to be starting this week in a rather calm fashion following last week’s bumpy ride. Platinum is in the spotlight this morning as the National Union of Minworkers (NUM)have downed tools at one of Northam Platinum’s mines as of Sunday night. The strike action comes amid Association of Mineworker and Construciton Union’s (AMCU) potential strikes at Anglo, Impala and Lonmin, the world’s largest platinum producers. The white metal has been relatively subdued, trading modestly higher from Fridays close of $1451.90.Factory order data from August/September are on tap for today but arguably more important data, including 3^rd Quarter GDP and October unemployment figures, will greet market participants toward the end of the week. Have a great day!

It was a rough day for the precious complex on Thursday as pressure from the currency markets exacerbated the fall-off from Wednesday’s less-than-dovish Fed statement.

It was a rough day for the precious complex on Thursday as pressure from the currency markets exacerbated the fall-off from Wednesday’s less-than-dovish Fed statement. The euro got clobbered as Eurozone CPI  reportedly reached a 4-year low of .7% last month missing estimates of 1.1%. Gold is still feeling some downside pressure to start the day and, after having closed the previous session at $1323.70, now trades $1314. The rest of the complex has bounced modestly to the upside to begin the month. Platinum is perhaps finding some support from the growing threat of strike action in South Africa. The AMCU has reached another wage dispute, this time with Lonmin. In other global economic news, China’s official PMI edged up to 51.4 last month form a 51.1 reading in September. Market participants will take in The Institute of Supply Chain Management October index at 10:00 am and then contemplate which candy they will confiscate from their children when they get home tonight! Have a great weekend!

To QE infinity and beyond!...or maybe December? The precious complex is under heavy pressure this morning as yesterday’s FOMC statement seemed to contradict what many expected to be rather dovish sentiment on the future of quantitative easing.

To QE infinity and beyond!...or maybe December? The precious complex is under heavy pressure this morning as yesterday’s FOMC statement seemed to contradict what many expected to be rather dovish sentiment on the future of quantitative easing. Given the rather lackluster economic picture of late and the impact of the recent government shutdown it came as a surprise to many that QE tapering in December is still a possibility. The metals reacted with moves to the downside following the meeting but as overseas markets got the opportunity to digest the news the metals continued their downward march. Gold closed the previous session at $1349.30, not too far from where it opened mid0week trading, but now trades more than 1.5% lower at $1327.20. Silver is down more than 4% to 22.050 after closing yesterday’s session at $22.983. The PGM side of the complex is following the trend with platinum down more than 1.5% and palladium down more than 1%. Platinum’s move lower might have some scratching their head as its been reported that the AMCU is now in a wage dispute with a third platinum miner, Lonmin and could seek a work stoppage. The Union has already been given the go ahead to strike, pending a 48 hour notice, at Impala and is posturing for similar strike action at Amplats. On the domestic front, it appears California has worked out the “glitch” in its unemployment claims reporting system. Jobless claims fell by 10,000 last week. Have a great day and a safe and happy Halloween!

Chairman Bernanke might be calling for a few more coffee breaks, to kill some time before his 2 PM statement, as this morning’s economic data give little reason to debate the current direction of monetary policy. ADP private sector jobs data showed just 130,000 jobs added this month. That’s the lowest level of job add-ons since the beginning of Q2 2013. The more heavily relied upon data, the government jobs data, has been delayed until November 8^th because of the government hiatus.  On the inflation front, The U.S. Labor Department reported that the Consumer Price Index rose just .2% in in September with 12 month CPI up just 1.2%. Along with a 6.5% unemployment rate, a 2% inflation target was given as the criteria for any pull-back in QE. The precious complex is pushing higher ahead of the conclusion of the FOMC meeting. Gold closed the previous session at $1345.50 and now trades nearly 1% higher at $1356. The yellow metal found some resistance near the $1360 mark, having reached as high as $1359.90. Silver is up nearly 2.5% having closed the previous session at $22.492 and now trades near the higher end of the day’s range at $23.035. Platinum has moved more than 1% higher as well, now trading at $1478 after closing the previous session at $1461.90. The white metal continues to find support from potential strike action from the AMCU. Have a great day!

 

The highly anticipated FOMC meeting gets underway today and while there is a slew of economic data reports out this morning it is unlikely any of them will change sentiment

The highly anticipated FOMC meeting gets underway today and while there is a slew of economic data reports out this morning it is unlikely any of them will change sentiment surrounding the continuation of quantitative easing in its current form. Home prices were up in August according to the S&P.Case Shiller 20 city index, as were retail sales in September according to the U.S. Census Bureau. Inflation remains stagnant and consumer confidence is waning. The Conference Board index fell to 71.2 this month, all the way from 79.7 in the last reading! In mining news, The Association of Mineworkers and Construction Union (AMCU) has voted to strike at Impala, the world’s #2 platinum producer. However, platinum’s response remains rather muted as any strike action must be preceded by a 48 hour strike notice. Have a great day!

With last week’s poor September jobs data in hand, as well as other less-than-flattering economic data of late, it’s unlikely that the FOMC will look to taper

With last week’s poor September jobs data in hand, as well as other less-than-flattering economic data of late, it’s unlikely that the FOMC will look to taper their $85 billion-a-month spending binge when they meet for their boondoggle on Tues/Wed of this week. Sentiment for the status quo got a boost on Friday when the Thompson Reuters/UofM consumer confidence index fell to 73.2 in October compared to Septembers reading of 75.2. The precious complex was able to regain its composer before the end of last week and, barring any surprises, should be cushioned to the downside at least until Chairman Bernanke and his colleagues give us their thoughts on Wednesday afternoon. In domestic economic news, industrial production rose .6% in September, the largest increase since February of this year, and pending home sales fell 5.6%. The PGM side of the complex is still in wait and see mode as the Association of Mineworkers and Construction Union could commence strike actions at the world’s two largest mining companies, Anglo and Impala. A “certificate of non-resolution” was issued to the AMCU by a government mediator as wage negotiations between the union and Impala become deadlocked. Platinum is trading .5% higher from Fridays close of $1455.50. Have a great day!

After rallying earlier in the week, on the back of softer economic indicators, the precious complex loss of momentum has left the complex susceptible to profit taking

After rallying earlier in the week, on the back of softer economic indicators, the precious complex loss of momentum has left the complex susceptible to profit taking as we head into the end of the week. Gold has reversed course the least as the FOMC meeting next week will likely not result in any form of QE tapering, helping to cushion gold’s downside. The yellow metal closed yesterday’s session at $1350.30 and now trades $1343 to start the day. The bigger “head-scratcher” of the day is Platinum.  On Thursday, it was reported that a mediator, in the wage negotiation between the AMCU and Impala (World #2 platinum producer), has given a go-ahead for the mining union to strike. If you’ll recall, the AMCU is posturing for similar action against Amplats, the world’s largest platinum producer. Platinum now trades nearly 1% lower from yesterday’s close of $1456.2. Palladium and silver are in a footrace to reach lower levels. Palladium has given up more than 1.5% to start the day while silver is outshining all the others in the moves lower and sits more than 2% down at the moment. In economic news, durable goods orders rose with a great deal of help from aircraft orders. The University of Michigan/Thompson Reuters consumer confidence index will be released at 9:55 ET. Have a great day!

The precious complex is in positive territory this morning.

The precious complex is in positive territory this morning. Gold’s rally, earlier in the week, on the back of less-than-inspiring (and delayed) US non-farm payroll data looks to have lost some steam but continues to find support from a softer US dollar. As a refresher, the September NFP data showed just 148,000 jobs added last month while the unemployment rate dropped to 7.2% and labor force participation remained at a dismal 63.2%. Gold is currently up .75% to $1343, down slightly from its high of $1349.30. HSBC’s flash manufacturing PMI for China rose to a seven-month high of 50.9, yet another good sign for the world’s #2 economy. China recently reported that Q3 GDP growth reached 7.8%. Silver is trading modestly higher, now $22.70 after closing the previous session at $22.617. On the PGM side, the Association of Mineworkers and Construction Union is posturing for yet another work stoppage at Amplats as wage negotiations between the two organizations don’t appear to be going as planned. Platinum has moved higher, now trading just shy of $1450 after closing the previous session at $1439.50. Jobless claims fell by 12,000 last week but the data continues to be skewed as California grapples with “technical problems” in its reporting system. New home sales will be released in a few minutes, then market participants can start planning their holiday shopping lists….there’s just 10 weeks left! Have a great day!

As government employees return to work after, after 16 days off, market participants are left to wonder what end-off-the-world scenario our fearless leaders in Washington will drum up next.

As government employees return to work after, after 16 days off, market participants are left to wonder what end-off-the-world scenario our fearless leaders in Washington will drum up next. For now, focus will shift to tomorrows release of the NFP/Unemployment Rate data that was supposed to be released earlier this month. However, the data could be a moot point form a monetary policy standpoint. A few Fed members have already voiced their opinions regarding QE tapering and given the events of the past two weeks it’s looking less likely that next week’s FOMC meeting will yield any action in the near term. Investors will take in more third-quarter earnings reports, as equity markets look to push even higher, and the National Association of Realtors will release existing home sales data at 10 a.m. ET.  The precious complex has been able to hold last week’s gains fairly well. Silver is the stand-out performer thus far, up nearly 2% after closing last week at $21.913. Palladium is outshining platinum at the moment, up nearly 1% to $748. Have a great day!

The precious complex is taking a bit of a breather here this morning following yesterday’s surge on the back of a budget deal

The precious complex is taking a bit of a breather here this morning following yesterday’s surge on the back of a budget deal in congress that kept the country from defaulting on its debt obligations. However, the agreement between the House, the Senate and President Obama merely sweeps the issue under the rug for another 3-4 months. At some point one has to clean under the rug, right? Therein rests the uncertainty that helped bolster the metals, particularly gold, throughout yesterday’s session. The yellow metal closed Thursday at $1323, roughly $40 higher than where it began the day. Weakness in the greenback helped squeeze out all but the most committed shorts in the market and now market participants will look to the next FOMC meeting for any indication of QE tapering. That meeting is scheduled to begin on October 29^th. Not surprisingly, some Fed members are already voicing their thoughts on the matter. Dallas Fed Head Mr. Fisher said, “Given all this uncertainty, it would be hard to argue to change course on monetary policy”. IN other global economic news, the world’s #2 economy, China, reported 3^rd quarter GDP came in at 7.8%, meeting expectations and improving on the previous quartes growth of 7.5%. In mining news, Amplats, the world #1 platinum producer, said it will maintain full-year guidance on platinum production despite recent disruptions. The miner has production guidance of 2.3 million ounces for the year. Have a great weekend!

Yesterday’s last minute budget deal was rather anti-climactic as the shambolic conservative wing of congress found themselves “between a rock and a hard place” giving market participants little reason to believe that they wouldn’t flinch in this game of chicken.

Yesterday’s last minute budget deal was rather anti-climactic as the shambolic conservative wing of congress found themselves “between a rock and a hard place” giving market participants little reason to believe that they wouldn’t flinch in this game of chicken. Unfortunately, this whole debacle appears to be for naught as what happened last evening amounts to nothing more than re-arranging the deck chairs on the Titanic. The US of A hit the proverbial iceberg long ago but will now continue to take on water- approaching $17 trillion worth- at least until February 2014. Consumer confidence, and likely confidence in any other facet of the domestic economy, will likely be on shaky ground until then and barring any significant improvement in unemployment or inflation targets set forth by the FOMC , QE doesn’t appear to be going away anytime soon. The greenback took a beating overnight as Chinese credit rating agency, Dagong, noted their concern with a downgrade of their US credit rating. Combined with aggressive short covering, gold is now up 2.5% from yesterdays close, now trading $1314 after closing the previous session at $1282.30. The PGM side of the precious complex is finding support as the AMCU and Amplats, fresh off a two week strike by the union, are now in wage negotiations. Platinum is up nearly 2% to $1423 after closing yesterday’s session below $1400. Palladium now trades 1.75% higher at $725.90. Have a great day!

The fiasco in Washington continues to play out but the simple fact is, there is no deal.

The fiasco in Washington continues to play out but the simple fact is, there is no deal. With the “discussions” likely to come down to the wire, and maybe over the wire, ratings agency Fitch has announced the U.S. AAA credit rating is on notice and that a downgrade is possible. However, market participants don’t seem too worried as the DJIA is up over 1% to start the day. The precious complex experienced some safe-haven interest overnight but that interest has fizzled out as hopes remain high that a deal will get done before tomorrow’s deadline. It’s a wait and see atmosphere today but could become an active day as headlines roll out of D.C. Have a great day!

“Close to a deal” is a relative statement.

“Close to a deal” is a relative statement. I could say that “I’m close to retirement” but unless your idea of “close” is 40 years you wouldn’t take me seriously. Senate majority leader Harry Reid said that his side of Congress has made tremendous progress and that they are close to a deal but whether the House of Representatives agrees is another question all together. Regardless, optimism remains surprisingly resilient with just a few days left until the Default of Doom. The chest thumping in Washington is all consuming at the moment and until a deal is reached one can expect the choppiness in the metals complex to continue. The metals began the morning in negative territory but have fought back early  with gold now trading relatively flat to Monday’s close.  Have a great day!

The precious complex has reversed course following last week’s sell-off amid growing optimism that the leaders in Washington

The precious complex has reversed course following last week’s sell-off amid growing optimism that the leaders in Washington were close to an agreement on the U.S. debt ceiling that would avoid a default come the October 17^th deadline. Gold closed the previous session at $1268.20 while the PGMs followed the downward momentum with help from the end of AMCU strikes at Amplats. However, the metals are regaining some lost ground to start the week as the nervous laughter has is slowly turning to genuine concern as market participants wonder if a debt ceiling deal will get done. It’s Columbus day, and as such the U.S. Bond markets are closed so one could argue we are not seeing the full market sentiment just yet. Investors appear to be shifting towards the perceived “safe havens” while equity markets are becoming a no-mans-land as we get closer to Thursday. Have a great day!

There’s growing optimism in the U.S. as it appears the chances of a deal in Washington to increase the “debt ceiling” are greater than the chances of the New York Giants winning a football game this season!

There’s growing optimism in the U.S. as it appears the chances of a deal in Washington to increase the “debt ceiling” are greater than the chances of the New York Giants winning a football game this season! Hints of a deal between the House Republicans, and everyone else in Congress, permeated the markets throughout yesterday’s session as equities surged back to life and gold found itself under pressure. The positive sentiment looks healthy to start the final trading session of the week but that’s not necessarily a good thing for the precious complex. Gold is down more than 2% to start the day and, after battling to hold anywhere near the $1300 level, finds itself at $1267. Silver has followed in the same direction and now trades nearly 3% lower to $21.245 after closing the previous session at $21.896. The PGMs are finally digesting the news that the AMCU has reached a deal with Amplats over the retrenchment of some 3,300 workers. The world’s #1 platinum producer has agreed to provide voluntary separation packages to those who would have otherwise been let go. Miners began returning to work today. Platinum is softer by 2% to start the day and now trades $1368 after closing the previous session at $1396. Consumer sentiment data from the University of Michigan will be released in a few minutes but given the recent domestic woes, it’s hard to believe consumers are all that happy. Have a great weekend!

As the leadership in Washington continues to lock horns over the

As the leadership in Washington continues to lock horns over the Affordable Care Act and the partial government shutdown, there is a new glimmer of hope this morning that both sides of the isle may be able to come to an understanding when it comes to the debt ceiling that is set to be reached in a week’s time. U.S. equities have shot up more 1% as there are reports that the U.S. congress is meeting to hammer out a deal that would temporarily increase the debt ceiling in order to avoid a U.S. default and the ensuing economic Armageddon so many have warned us about. However, there are still seven days left to hammer out a deal and given how stubborn both sides can be and have been, there is still an aura of uncertainty.  U.S. initial jobless claims reporting appears to be an essential, yet not totally reliable, function of the U.S. government as the Labor department released first time claims data this morning. Initial jobless claims came in at 66,000 last week but more than half of that increase came from California where computer problems continue to cause problems. One would think that the home of Silicon Valley would be able to find someone to fix the glitch, but hey, what do I know? The seasonally adjusted first time claims now stand at 374,000. Have a great day!

The “doom and gloom” rhetoric from President Obama during yesterday’s press briefing appears to be falling largely on deaf ears.

The “doom and gloom” rhetoric from President Obama during yesterday’s press briefing appears to be falling largely on deaf ears. While a prolonged partial government shutdown will likely have some negative effect on the economy it’s hard to believe most market participants would think Congress would “cut its nose off to spite its face” and let the country default on its debt. Gold closed Tuesday’s session lower at $1324.60 but has since lost another 1.25% and now trades $1308. Silver is the biggest loser thus far, down more than 2% to $21.980 after closing the previous session at $22.443. Platinum and palladium are following the downtrend as both metals trade more than 1% lower at $1381 and $706 respectively. Market participants will get a peek at the latest FOMC meeting minutes later this afternoon and just ahead of a 3:00 PM ET press conference where President Obama is expected to announce his nomination of Janet Yellen as the next Federal Reserve Chairman. Have a great day!

The battle between the unstoppable forces and immovable objects – or so they think- in Washington D.C. continues as the nation heads into the 8th day of a partial government shutdown.

The battle between the unstoppable forces and immovable objects – or so they think- in Washington D.C. continues as the nation heads into the 8^th day of a partial government shutdown. More concerning, however, is the debt ceiling that sits a little more than a week away and has investors worried that the U.S. could default on its debt come October 17^th. The consensus, for now, seems to be that a default is unlikely but there is still quite a bit of time, between now and then, for that sentiment to change. The precious complex is little changed from the previous sessions close. Gold is trading $1327 after closing Monday at $1325.10. Platinum has moved back above the $1400 level following reports of more potential labor issues in the platinum and gold mining sectors, this time in Zimbabwe. The Associated Mineworkers Union of Zimbabwe will begin negotiating salary increases in November, according to Bloomberg News. The union is said to be requesting as much as a 50% increase in salaries. The white metal now trades $1405. In other global economic news, China’s service sector PMI, as reported by Markit/HSBC came in at 52.4 last month, down slightly form an August reading of 52.8. Third quarter earnings season kicks off after U.S. market close today but market participants will likely be unfazed unless there are some significant surprises. Have a great day!

The “whatever” mentality regarding the congressional standoff in Washington D.C. is slowly shifting to a nervous laughter as we head into the second week

Good Morning,

 

The “whatever” mentality regarding the congressional standoff in Washington D.C. is slowly shifting to a nervous laughter as we head into the second week of the partial U.S. government shutdown and a looming debt ceiling that some in the U.S. government are touting as a somewhat apocalyptic situation. However ridiculous this whole thing is becoming – barricades around war memorials and the shut-down of websites including the AMBER alert system – there is a thick aura of uncertainty surrounding what the D.C. loony bin is going to do next and that is leading to some choppiness in the markets. The US government jobs data that was supposed to be released last Friday wasn’t and with the lack of important economic data it is hard to believe the FOMC will be able to make a sound decision regarding the future of QE. Then again, they don’t have to make that decision until December so let’s just hope this whole thing ends before then, or we’ll have more important problems to worry about.  The PGM half of the metals complex continues to be rather muted in response to the ongoing labor tensions in South Africa between Amplats and the AMCU.  The unions head, Joseph Mathunjwa, is not at all pleased with how recent negotiations, regarding the “retrenchment” of some 3,300 workers, have been going and may call for more strikes that would spill over into other parts of the mining industry. Platinum is little changed from Friday’s close at $1384.70 while palladium has dipped slightly below the $700 mark. There is not much on tap from an economic data perspective so market participants can continue to watch the happenings in Washington that are starting to look like a bad episode of the Jerry Springer show…ok, maybe not that bad. Have a great day!

The roller coaster ride continues in the precious complex as gold reverses course from yesterday’s

The roller coaster ride continues in the precious complex as gold reverses course from yesterday’s rally on the back of less-than-inspiring ADP private sector payroll data. The yellow metal closed the previous session at $1320.70, fueled in part by ADP data that showed just 166,000 private sector jobs were added in September. While that number was up from August it still missed the estimated mark of 180,000 jobs. US Dollar weakness, due to the ongoing battle in Washington that has led to a partial shutdown of the US government, was also a factor in yesterday’s rally. However, this morning’s report that initial jobless claims rose by just 1,000 last week has market participants scratching their heads as they gear up for tomorrows NFP numbers. Gold is now trading $1310. The precious complex should find some downside cushion as the government shutdown drags on and the country inches ever closer to the debt ceiling. Have a great day!

Uncertainty is the theme surrounding commodity and equity markets as the US Government shutdown continues into day 2.

Uncertainty is the theme surrounding commodity and equity markets as the US Government shutdown continues into day 2. Global equity markets initially shrugged off the shutdown and moved higher yesterday but the potential of a longer shutdown is causing some fears in the markets today. Longer US shutdown will certainly impact the US GDP and the fragile housing and labor market recoveries. The US ADP nonfarm employment data showed a creation of 166k jobs which is less than the expected 180k. The US dollar weakened against the Euro on the employment news and the European Central Bank keeping interest steady at 0.50%. The gold and silver market recovered most of yesterday’s losses as short covering caused markets to move higher. Banks and Hedge Funds who sold into the technical breach in the gold market yesterday quickly covered their position as gold crossed back above $1300. We expect more technical trading from the banks and funds to cause short term volatility in the commodity markets. In the long run, we see US government shutdown to end in days and not weeks and Fed tapering to be back in the discussion for the December meeting. The recovery in Asia and Europe will offset any lingering effects of the US shutdown. We believe that gold will continue to drift lower towards the end of the year and the gold/silver ratio to tighten back to the historical norm. Platinum and palladium will most likely trade in a range as industrial demand will well supplied. We are advising our industrial customers to buy metals except gold on the dip and buy gold as needed. Thanks and have a wonderful day.      

 

There is still time for the “leadership” in Washington to put aside the petulance and come to some understanding

There is still time for the “leadership” in Washington to put aside the petulance and come to some understanding that would prevent a government shutdown when the clock strikes midnight tonight. However, market participants are taking the “once bitten twice shy” approach with a case of “sell the rumor buy the news”. The last time investors piled on the “government shutdown” bus the situation was averted. Gold has been pressured lower from last weeks close - most likely from a combination of month end/quarter end activities and the looming fiasco – and now trades nearly 1% lower to stsart the week. AMCU workers, who began striking at Amplats on Friday may or may not continue the work stoppage but platinums rather muted response may lead one to believe that a short term disruption has been priced into the market. Platinum trades ~$6 lower to start the day as market participants look for any signs that the issues at the world’s #1 platinum producer may drag on longer than expected. Have a great day!

The precious complex continues to search for direction but the looming U.S. government shutdown

The precious complex continues to search for direction but the looming U.S. government shutdown and a debt ceiling that is getting a little too close for comfort appear to be cushioning any significant downside for gold at the moment. Platinum remains in a holding pattern just a day ahead of a planned AMCU strike at Amplats tomorrow. Any hint of a long-term supply disruption could push the white metal off the sidelines but for now it’s a wait-and-see atmosphere. On the domestic economic front, it appears the computer glitches surrounding weekly jobless claims have finally been fixed and the numbers are painting a rosy picture. Claims fell by 5,000 last week and now stand at 305,000 according to the Labor Department. U.S. pending home sales fell by 1.6% in August according to a report just released by the National Association of Realtors. The recent rise in long-term interest rates appear to be the culprit. However, pending sales are still up 5.8% from the same time last year. Have a great day!

 

Get FREE real time price quotes and make trades wherever you are with the Westminster Mint FREE Mobile Apps

Westminster Mint FREE Mobile Apps

Get FREE real time price quotes and make trades wherever you are.

Westminster Mint offers powerful apps for our on-the –go clients. This application gives you access to some of the lowest precious metals prices on the Internet. You can instantly buy or sell over 100 bullion products, analyze trends, receive historical data, charts and timely market news delivered in an effortless format to keep you fully informed about your precious metals investments wherever you are.

It’s 100% FREE!

Access some of the lowest precious metals prices on the Internet

Trade over 100 bullion items instantly!

Live spot pricing on gold, silver, platinum and palladium!

The only precious metals app you will ever need!

iphone screenshots


   



Android screenshots

  

Gold is failing to find any support from comments made by St. Louis Fed President

Gold is failing to find any support from comments made by St. Louis Fed President, James Bullard’s colleagues that appear to contradict his optimistic tone regarding the health of the U.S. economy and the potential for QE tapering in October. Although the only certainties in life, as the saying goes, are death and taxes, one wouldn’t be venturing too far out on a limb to add in the end of quantitative easing and being that it’s only a matter of time, market participants appear to be leaning towards sooner than later. Also weighing on the yellow metal is the softening demand out of the Far East. Gold is trading more than 1% off to start the day after closing yesterday’s session at $1327. Silver is following the trend and is more than 1.5% off in early trading. Platinum’s reaction to the announced planned strike by the AMCU on Friday appears somewhat muted at the moment. The Association of Mineworkers and Construction Union will  protest Amplats’ plans to cut 3,300 workers, despite this number being much smaller than the 14,000 job cuts that the world’s #1 platinum producer had planned for earlier this year. Platinum is off .25% to $1421.80. IN domestic economic news, S&P Case/Shiller reported single-family home prices were up 12.4% in June compared to the year prior. Have a great day!

Every party has a party pooper

Every party has a party pooper, someone who just sucks all the fun out of the place. In this particular instance, that person was James Bullard, Head of the St. Louis Federal Reserve. After Wednesday’s surprise announcement that the Federal Reserve would not begin QE tapering and the subsequent rally, in both the equities space as well as the precious complex, Mr. Bullard took to the spotlight on Friday and, for lack of a better term, killed the mood. His indications that the recent vote to begin tapering was very close and his statements that the Fed could start the process in October, should economic data improve, had the precious metals giving back much of their gains by market close on Friday. The precious complex remains under pressure to start the day with gold down nearly 1% after closing the previous session at $1332.50. Silver is down nearly 1% as well while platinum trades off roughly $7 and palladium  trades 1.5% lower. In global economic news, HSBC’s “flash” index showed manufacturing activity pushing further into expansion territory. The reading came in at 51.2 after the previous months reading of 51.1. Eurozone PMI, as reported by Markit, also improved and come in at 51.5, up from last month’s 52.1. It should be a rather quiet day as market participants look to position themselves for the upcoming debt ceiling battle in Washington. Have a great day!

The precious complex is coming under a bit of pressure as some profit taking seeps into the market following Wednesday’s rally.

Good Morning,

 

The precious complex is coming under a bit of pressure as some profit taking seeps into the market following Wednesday’s rally. Gold closed the previous session at $1369.30 but now trades more than 1% lower to $1353. Silver, which surged nearly 8% after the Fed announced it would leave QE alone, has given back nearly 3% this morning and trades $22.640 after closing yesterday at $23.292. Platinum and palladium are down roughly 1.75% to start the morning. There isn’t much on tap from an economic data perspective so it’s shaping up to be a rather uneventful day. Some Fed members will be in the spotlight later this afternoon, which always has the potential to add some excitement to the markets. Have a great day!

“Sell the rumor buy the news”…which is completely backwards from the cliché trading lingo market

“Sell the rumor buy the news”…which is completely backwards from the cliché trading lingo market participants are used to but nonetheless advice that would have treated them well after yesterday’s FOMC meeting. In a shocking twist of rational thinking, the Fed has decided not to taper Quantitative Easing and, instead, stay the course of $85 billion-a-month in asset purchasing. One could guess what happed after the metals complex had been sold-off sharply in the days leading up to the meeting. Gold closed the official session at $1307.60 but quickly spiked after the announcement and now trades more than 4.5% higher. Silver is nearly 8% higher, now trading $23.275 after closing the previous session at $21.564. Platinum trades more than 3% higher this morning, as does palladium, up 3.76% to start the day. Weekly jobless claims rose 15,000 last week but a few states are having trouble processing claims so the reading remains rather useless. Existing homes sales at 10 a.m. ET will round out the day on the economic front while investors continue to ponder the Fed’s decision. Have a great day!

We could be in for a rather uneventful day in the precious metals complex as market participants await the conclusion of the FOMC meeting tomorrow.

We could be in for a rather uneventful day in the precious metals complex as market participants await the conclusion of the FOMC meeting tomorrow. At this point, it seems the consensus isn’t if the Fed will begin tapering the $85 billion-a-month asset purchase program but by how much. A $10 billion reduction in the program may have already been priced into the market so any deviation could make Wednesday afternoon very interesting. Until then it’s a wait and see atmosphere as the metals hover at or slightly below yesterday’s closing levels. Gold closed the previous session at $1317.80 and touched as low as $1307 in overnight trading. The yellow metal now trades $1312.60.  Silver ended Monday’s session at $22.009 and now trades nearly .75% lower at $21.850 after reaching as high as $22.14 overnight. Platinum trades about .5% lower at $1434 while palladium trades relatively flat to yesterday’s close and continues to hold above the $700 mark at $705. In economic news, The Labor Department released its consumer price index which rose .1% last month compared to a .2% increase in July. Have a great day!

While relations between President Obama and Russian President Putin seem worthy of a story on TMZ or E Entertainment Tonight

While relations between President Obama and Russian President Putin seem worthy of a story on TMZ or E Entertainment Tonight, the simmering tensions between the two are taking a relative back seat to news of central bank interest rate moves out of Asia and first time unemployment claims released earlier this morning. Indonesia’s central bank raised its key policy rate .25% and moved a couple more key interest rates higher in what is being labeled a “surprise” move in an attempt to cushion the downward momentum of the counbtry’s currency. Meanwhile the central banks of New Zealand, the Philippines and South Korea indicate  that their respective interest rates will likely hold steady  into at least 2014. We’ll see what happens after the FOMC meeting next week. First time unemployment claims are giving a false sense of an improving labor market. First time claims fell by 31,000 last week according to the Labor Department. However, due to “technical issues” some states were unable to report making this morning’s report rather useless. The precious metals complex is down sharply to start the day. Gold closed the previous session at $1363.80 but now trades nearly 2.5% lower at $1330.50. Silver is off roughly 4% while platinum trades $1447 after having closed Wednesday’s session  at $1473. Palladium continues to be the exception as it has moved little from yesterdays close of $691. Have a great day!

2013 W Gold Buffalo Reverse Proof Chicago ANA Releases NGC MS70

2013 W Gold Buffalo Reverse Proof Chicago ANA Releases NGC MS70

The United States Mint chose one of it’s most beloved designs, the American Buffalo, sculpted by James Earle Fraser, (student of the legendary sculptor Augustus Saint-Gaudens), to celebrate the 100 year milestone of the American Buffalo Design this year by creating the first ever Gold Reverse Proof American Buffalo.

The U.S. Mint made a special pre-release of just 1,000 coins at the  ANA Convention in Chicago August 13-17th. This gives these coins a unique pedigree that sets them apart from other coins. To identify the coins are from this unique pre-release NGC has created special labels designating them as Chicago ANA Releases. The coins we are offering have been certified perfect MS70.

Content: Gold 1.0000 (31.1035 grams)
Diameter: 32.70 mm
Weight:1.001 (31.108 grams)
Thickness: 2.95 mm
Date: 2013
Mint: WestPoint
Condition: NGC MS70
ANA Chicago Releases

While President Obama pleaded his case for a military strike against Syria, when he addressed the nation last night, diplomacy appears to the path of least resistance for the administration as a vote by Congress has been postponed and Secretary of State Kerry will head to Geneva to further the discussion.

While President Obama pleaded his case for a military strike against Syria, when he addressed the nation last night, diplomacy appears to the path of least resistance for the administration  as a vote by Congress has been postponed and Secretary of State Kerry will head to Geneva to further the discussion. The precious complex remains near yesterday’s closing levels, reached after developments on the Syrian situation. It was reported that the Syrian government had agreed to a proposal by Russia that would place the country’s chemical weapons under the control of the international community. Gold fell more than 1.5% and closed the previous session at $1364. The yellow metal now trades modestly lower at $1362. Silver is slightly higher, now trading $23.12, after closing Tuesday’s session at $$23.016. Platinum is licking its wounds as well after yesterday’s sharp decline. The white metal now trades $1477, slightly higher than yesterday’s close. Palladium remains the exception, having climbed more than 1% to start the day. Palladium now trades just above the $700 mark. Have a great day!

 

The paint, with which the Obama Administration had painted itself into a corner with, appears to be

The paint, with which the Obama Administration had painted itself into a corner with, appears to be drying up and it looks less likely that the U.S. will have to resort to strategic missile strikes against the Assad regime. It’s been reported that the Syrian government has agreed to a deal, proposed by Russia, that would place the country’s chemical weapons stockpile under control of the international community. The details of the arrangement don’t yet exist but that doesn’t seem to be worrying anyone. Chinese data released overnight  is lending its own support to the positive sentiment this morning. The world’s #2 economy had a number of positive economic reports including report on annual industrial output which rose 10.4% last month. The DJIA has moved nearly .5% higher at the open while gold is down more than 1.5% to start the day. The yellow metal now trades $1364 after closing Monday’s session at $1386.70. Silver off roughly 3% from yesterday…now trading $23.00 after closing the previous session at $23.717. Palladium is bucking the precious complex trend, trading nearly 1.5% higher at $693 this morning. With tensions fading in the Syrian situation, investors will look to next week’s FOMC for further direction. Have a great day!

 

Introducing the new Silver Bullion Rounds 1854 Seated Liberty Design With Arrows

Introducing the new Silver Bullion Rounds 1854 Seated Liberty Design With Arrows

So much gold was flooding the market at the height of the California gold rush that silver for the first and only time in history was worth more than gold. It was possible to exchange two hundred silver half dollars not for $100 in gold but for $106.60. The gold could then be exchanged at face value to buy more silver. This market anomaly caused the widespread melting down of silver half dollars almost to the point of removing them from circulation.

To correct this market anomaly, the government decided to reduce the  weight of the original coins by seven percent. To notify the public about the change in weight the U.S. Mint modified the design of the coin. After a flawed trail strike, new coins were issued with two prominent arrows placed at either side of the date.
 

Coins bearing the new arrows design were struck for just two years in 1854 and 1855 at the Philadelphia and the New Orleans Mint. After two years the arrows were removed and the coin returned to the original design but maintained the new lower weight. Seated liberty half dollars were issued from 1839-1891 but only two dates in the series has the arrows design.

1854 Seated Liberty design W/Arrows silver bullion rounds are a great way to buy silver. They are easy to buy, sell, stack store and count. We offer mint fresh beautifully struck, one ounce silver rounds. These lustrous rounds measure 39mm in diameter and contain one ounce of .999 fine silver. They are hallmark stamped with their exact weight and purity. Nationally recognized by all silver bullion and coin dealers, rounds are ideal for first time buyers and seasoned investors alike.

 

Fresh off Friday’s NFP data, and the first full weekend of NFL action, market participants return this morning with a shift in focus.

Fresh off Friday’s NFP data, and the first full weekend of NFL action, market participants return this morning with a shift in focus. While unemployment data last week kept the uncertainty of QE tapering alive, the more pressing matter of Syria takes center stage to start the week. The House and Senate will continue to digest the mounting evidence in the case against the Assad regime with the latter scheduled to vote as early as mid-week on whether to allow a U.S. military strike against Syrian targets.  On top of that, investors will be gearing up for next weeks Fed meeting as the debate on what Friday’s numbers really mean for the future of the Feds current monetary policy. Just 169,000 jobs were added in August with the unemployment rate dropping to 7.3%, albeit from a reduction in the labor force participation rate. Gold is the only one in the metals complex in positive territory to begin the week. The yellow metal is trading just .2% higher after closing last week at $1386.50. Have a great day!

Peyton Manning’s completion percentage in last night NFL season opener was 1.1% better than the percentage of Americans participating in the work force

Peyton Manning’s completion percentage in last night NFL season opener was 1.1% better than the percentage of Americans participating in the work force and about the only people happy about that fact are those who played Manning on their fantasy football team last night. Ok, so I’m running out of clever analogies to illustrate the disappointment brought about in recent month pertaining to the health of U.S. employment. In case you haven’t had your coffee yet, I’ll break down the stats for you. Only 63.2% of eligible Americans feel the need to participate in the labor force. That’s the lowest participation rate since 1978! Just 169,000 jobs were added in the month of August, beating July’s dismal numbers by a measly 65,000 Jobs but missing estimates. Unemployment, is now down to just 7.3% but for all the wrong reasons. All of this adds up to a reversal of this week’s trends in the precious complex. After a few days of sharp corrections to the downside, the metals are back on the move north, led by gold, as a September QE tapering announcement by the Fed seems rather unlikely, despite a number of positive economic reports over the last few weeks. Palladium continues to be the exception and simply chooses to sit near yesterday’s closing level of $685.80. Have a great weekend!

 

After yesterday’s blood-letting in the precious complex, it’s looking like a quiet Thursday ahead of tomorrow’s highly anticipated U.S. government jobs data.

After yesterday’s blood-letting in the precious complex, it’s looking like a quiet Thursday ahead of tomorrow’s highly anticipated U.S. government jobs data. ADP private sector jobs numbers, released earlier this morning, showed 176,000 added to private payrolls and weekly jobless claims numbers fell by 9,000 last week. However, there was little reaction to the data and the metals continue to hover near yesterday’s closing levels with a little pressure building to the downside. That is, except for and palladium which continue to get no love from positive U.S. auto sales figures released throughout Wednesday’s session. Palladium has fallen another 1.5% to $687.90 after closing yesterday at $698.25. Gold is a bit lower from Wednesdays close with prospects of a full blown war in the middle east dissipating as the Obama administration continues to emphasize the limited nature of any strike against Syrian targets. The yellow metal closed the previous session at $1390 and now trades roughly $10 lower to start the day. Platinum failed to hold the $1500 level yesterday but the potential for a spill-over of labor tensions in the South African gold sector, into the platinum sector, should cushion the white metals retreat. Have a great day!

The precious complex is under pressure amid continued uncertainty

The precious complex is under pressure amid continued uncertainty surrounding a U.S. military action in Syria and  strike action in the South African gold sector by the National Union of Mineworkers. As the Obama administration continues to gain support for a strike against the al-Assad regime, particularly from key figures on the right side of the isle, it’s becoming more a question of when the strikes will occur and what the ramifications will be after. Gold closed Tuesday’s session at $1412 but has failed to maintain support from current events and now trades more than 1.5% lower at $1388. Silver is the biggest loser thus far, down more than 3.5% on the day, despite positive manufacturing data out of China earlier this week and the U.S. yesterday (August ISM PMI up to 55.7 from 55.4 in July). Silver now trades $23.48 after closing Tuesday at $24.382. Platinum and palladium are down 2.7% and 3% respectively  as U.S. auto sales figures for August trickle in throughout the day. Toyota U.S. sales were up 22.8% beating estimates of 15.6% while GM reported sales were up 14.7% last month.  The Fed’s beige Book will be released at 2:00 PM ET today giving market participants a little appetizer before the non-farm payroll numbers are reported on Friday. Have a great Day!

A number of headlines are greeting U.S. market participants as they return from the extended Labor Day weekend.

A number of headlines are greeting U.S. market participants as they return from the extended Labor Day weekend. On Monday, global markets got a boost  from economic reports out of Asia and Europe as China’s official purchasing managers index pushed further into expansion territory and Eurozone GDP showed the region growing for the first time in almost two years. The manufacturing sector of the world’s #2 economy nudged up from 50.3 in July to a reading of 51 in August while Eurozone GDP grew .3% in 2Q 2013 led by Germany (up .7%) and France (up .5%). On the domestic front, there has yet to be any U.S. military action in Syria as the Obama Administration looks to congress for approval. Gold was losing support from the potential of imminent conflict in the middle east and reached as low as $1373.6 before reports of Israeli missile tests spooked the gold bugs and pushed the yellow metal back toward $1400. Gold now trades $1399. Tension in South Africa is coming to a head as wage negotiation, between the National Union of Mineworkers and gold mining companies, don’t seem to be getting anywhere. A strike by NUM members in the gold sector is set to begin today. U.S. ISM manufacturing PMI will be released at 10:00 am. Have a great day!

The Obama Administration was thrown a curveball Thursday when Prime Minister David Cameron

The Obama Administration was thrown a curveball Thursday when Prime Minister David Cameron was unable to win support from UK parliament regarding military action against the al-Assad regime over the use of chemical weapons on Syria’s civilian population. The U.S. suddenly finds itself alone in any plan to punish the dictator with military force. Without support from major allies and with UN weapons inspectors still on the ground in Syria, it’s unlikely that a strike by U.S. forces is imminent. At least that’s what the sentiment seems to be in the markets. The precious complex is back down toward pre-“sabre Rattling” levels amid these recent developments and profit taking ahead of month-end and a long weekend in the U.S. is weighing on the metals as well. In other news, the Reserve Bank of India is contemplating plans to direct come banks to buy back gold from individuals and sell to refiners in an attempt to curb the country’s current account deficit. The PGM’s are lower despite talk from Anglo American’s CEO that indicates the miner may have to shutter some operations/shafts if profits don’t improve next year. The news comes as the gold sector faces strikes as early as this Sunday from the National Union of Mineworkers. The potential for a spill over into other mining sectors, especially the platinum sector, may provide cushion to the downside for the time being. In domestic economic news, Consumer spending was muted in July having nudged up just .1% compared to the estimated .3%. University of Michigan’s consumer confidence index will be released at 9:55 am and will shed more light on consumers moods. Have a great Labor Day weekend!

 

The lack of immediate intervention, by western allies, into the Syrian conflict

The lack of immediate intervention, by western allies, into the Syrian conflict has market participants breathing a little easier this morning and consensus seems to be leaning toward confrontation sometime next week…perhaps our fearless leaders want to get in one more good vacation weekend before the stuff hits the fan. So, on to more pressing matters of the day. The Bureau of Economic Analysis seems to be suffering another case of what I like to call “Weatherman Syndrome” as second-quarter U.S. GDP data was revised nearly 1% higher than originally forecasted. The domestic economy grew at an annual rate of 2.5% in the second quarter, up from the 1.7% originally reported and beating forecast estimates of 2.1%. In other positive news, U.S. initial jobless claims fell by 6,000 last week to 331,000. He Syrian situation, coupled with today’s inspiring economic data, is weighing on the metals complex at the moment but support may be found from ongoing tensions in South Africa. The National Union of Mineworkers will likely give gold producers a 48-hour strike notice tomorrow with strikes starting as early as Sunday. Have a great day!

A “damned if you do damned if you don’t” situation for..

A “damned if you do damned if you don’t” situation for Obama Administration has some tumult permeating the financial landscape as fears of an intervention in the ongoing Syrian Civil War has market participants clamoring for safer pastures. A flight from equities, after the DJIA plummeted more than 1% and the S&P shed 1.6%, had investors pushing Gold, Oil higher throughout Tuesdays trading session while 10-year Treasury yields fell sharply. Gold closed at $1420.6 and has reached as high as $1428 in overnight trading while oil jumped nearly 3% and yields on the 10-year hit 2.722%. Reports indicate that action against al-Assad’s dictatorial regime, by U.S. and other like-minded allies, may be relatively imminent (Tomorrow?) but it’s probably not a question of “if” at this point, rather it is a question of “how much”. Best-case scenario, the U.S. lobs a couple of million dollars’ worth of cruise missiles to save face after declaring a “red line” ultimatum. Worst case? Well, let’s just hope we don’t have to cross that bridge when we come to it. Either way, safety is the theme du’jour and given the complexity of world affairs at the moment, it will likely be this way for the immediate future. Have a great day!

It is now apparent that the proverbial line has been sufficiently crossed

It is now apparent that the proverbial line has been sufficiently crossed with regard to the al-Assad regime and the civil war that rages in Syria. The dictator and his backing have not been officially accused of using chemical weapons against their own people but evidence strongly supports that the regime was the likely aggressor, according to comments made late Monday by U.S. Secretary of State John Kerry. This “moral obscenity” has led to U.S. military readiness in the region and has market participants on edge as intervention by U.S. and Coalition forces ticks closer to zero hour. October Brent Crude prices have surged more than 2% with prices now at $113.10 per barrel. U.S. Stocks took a plunge during the late day statement by Secretary Kerry with the DJIA falling back below the 15000 mark. Gold closed Monday’s mostly uneventful trading session at $1393 but is now trading near the top of today’s range at $1417. Silver is up more than 2% as well, now trading $24.530. In addition to the Geopolitical tensions brewing in the middle-east, the U.S. has some domestic fiscal issues that are garnering headlines this morning. The U.S. is said to be on track to hit the debt ceiling by mid-October and, according to Treasury Secretary Jack Lew, the President is not in a mood to negotiate…here we go again! U.S. home prices were up 2.2% for the month of June according to Case-Shiller beating estimates of just 1%. However, the somewhat positive data is a rather moot point at the moment given the more pressing concerns discussed above. Have a great day!

If you find yourself waking up with a case of the Mondays let’s put things into perspective…

If you find yourself waking up with a case of the Mondays let’s put things into perspective…at least you’re not Billy Ray Cyrus waking up to see what his daughter did at the MTV Video Music Awards last night. Feel better? Suddenly all of this economic stuff doesn’t seem all that bad, right? Ok maybe not. U.S. durable goods orders plunged 7.3% in July according to the U.S. Commerce Department, a striking contrast to the 3.9% jump the month before. Couple this morning’s data with last week’s less-than-inspiring new home sales data and one could be led to believe that tapering of QE is not in the books for September or even December at this point. The precious complex is rather quiet this morning, most likely due to the bank holiday across the pond in London. The exception appears to be silver , up more than 2% and now trading $24.23 after closing Friday’s session at $23.738. Gold briefly broke the $1400 level in overnight trading but has since given back those gains and then some. The yellow metal now trades $1393. Platinum is relatively flat to last weeks close at $1541.60 while palladium trades a little more than $5 off Friday’s close, now at $744.40. Have a great day!

Platinum rallied to a close of $1540.10 on the back of Chinese PMI data that showed

Platinum rallied to a close of $1540.10 on the back of Chinese PMI data that showed the manufacturing sector of the world’s #2 economy pushed back into expansion territory. Chinese PMI moved across the 50 threshold, coming in at 50.1 this month compared to a reading of 47.7 in July. The white metal pushed as high as $1547 in overnight hours but has since returned to yesterday’s closing levels. Platinum is likely also finding support from the situation in South Africa where wage negotiations between the the National Union of Mineworkers (NUM) and their employers in the gold mining sector have apparently collapsed. The threat of a spillover into the rest of the mining industry will likely be on the minds of market participants as we head into the weekend. Palladium pushed to a close of $755 on Thursday but now trades slightly lower at $751. Today could be a rather quiet end to the week as there is little in the way of market moving economic data on tap. New Home Sales data is due out at 10:00 am but after yesterday’s so-called “Flash Freeze” on the Nasdaq, investors might take the opportunity to start their weekend a little early and come back refreshed on Monday. Have a great weekend!

A whole lot of nothing…That’s what the general consensus seems to be regarding yesterday’s release

Good Morning,

 

A whole lot of nothing…That’s what the general consensus seems to be regarding yesterday’s release of FOMC minutes from the most recent meeting of the Fed minds. There’s no question that tapering will eventually happen but the “sooner or later” part of the equation has yet to be solved. All calculus, trigonometry and algebra aside, the simple sum of whether the job market is healthy and inflation reaches an optimum level will continue to be the proverbial trip wire for the beginning of the end of Quantitative Easing. After the dust settled, 10-year bond yields had surged to 2.9% and the DJIA had lost over 100 points by the end of the session. Gold closed the day at $1370.6 and now trades at the day’s high of $1374.8. The rest of the complex is in the green to start the day as will with silver up nearly 1% while platinum trades at $1523, having reached as high as $1529, and palladium hovering just below $750 an ounce. In domestic economic happenings, the weekly U.S. jobless claims increased 13,000 to 336,000 and while that is not necessarily a good sign, some critics would argue that because the more accurate four-week average stands at 330,500 and overall jobless claims remain near the lowest levels seen in more than 5 years, that employment may be poised for a comeback. We’ll see about that on September 6^th. U.S. manufacturing pushed further into expansion territory this month as data from Markit showed the index moved to 53.9 from 53.7 last month. Jackson Hole gets underway today and central bankers from around the globe will converge on the site to hear what Janet Yellen, the likely successor to Chairman Bernanke, has to say about the current state of affairs. Have a great day!