Compiled 09/12/11 6:00 AM (CT) Statistics: London Gold Fix $1,843.00 -$36.50 LME Copper Stocks 465,125 tons -100 tons GOLD MARKET FUNDAMENTALS: (6:00 AM CST) At least to start today, the gold market doesn't seem to be garnering lift off renewed Euro zone debt concerns. In fact, fear of a Greek default and signs of conflict within Euro zone leadership also haven't inspired enough bulls to shift control of the gold market in favor of the bull camp. Even fresh new highs in US Treasuries and sharply lower global equity market action has failed to inspired gold bulls this morning and some traders suggest strength in the US currency might be putting gold off its normal game. Even more surprising is the fact that gold hasn't benefited from a supportive article in a mainstream US business paper. However, in the wake of another sharp rise in speculative positioning in the latest COT position report for gold, there is talk that gold is in danger of further corrective action ahead. On the other hand, the bull camp in gold can probably count on residual Euro zone debt concerns going forward, especially with EU leaders seemingly at odds with each other. Some gold traders might be discouraged by the threat of deflation that can sometimes surface in the event that a double dip global recession is widely anticipated. However, with the US economic report slate today mostly empty, it could be difficult to dramatically alter the initial macro economic vibe at the start of the new trading week. Comex Gold Stocks were 11.556 million ounces up 2,400 ounces. The Commitments of Traders Futures and Options report as of September 6th for Gold showed Non-Commercial traders were net long 241,504 contracts, an increase of 8,866 contracts. The Commercial traders were net short 285,754 contracts, an increase of 11,297 contracts. The Non-reportable traders were net long 44,249 contracts, an increase of 2,429 contracts. Non-Commercial and Non-reportable combined traders held a net long position of 285,753 contracts. This represents an increase of 11,295 contracts in the net long position held by these traders. OUTSIDE MARKET DEVELOPMENTS: (6:00 AM CST) While equity markets in Asia and Europe were weaker during overnight trading, early indications are that US equity markets will open with substantial losses later on today. The US Dollar is moderately stronger against most of the major currencies this morning, although posting a loss versus the Yen. G7 Finance Ministers in Marseille over the weekend agreed to coordinate their response to the global economic slowdown but the trade continues to fear a lack of coordination from the G7 and ECB. The Chinese Trade surplus during August was $17.76 billion, lower than market forecasts. There are no major US economic numbers to be released this morning. Fed Regional President Fisher will give a speech this afternoon.
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