Compiled 01/19/12 6:00 AM (CT) Statistics: London Gold Fix $1,664.00 +$7.00 LME Copper Stocks 365,375 tons -1,525 tons GOLD MARKET FUNDAMENTALS: (6:00 AM CST) Gold saw some buying interest in Asia overnight as the trade in that region continues to toss around talk of improved macro economic conditions in the US and it would also seem like the gold trade is mostly up beat toward the European situation. It also seemed as if some Asian gold buyers were moving to factor in the prospect of a Chinese bank reserve requirement reduction during the upcoming Chinese holidays. However, Russian miner Polymetal posted a 10% increase in its 4th quarter gold production overnight and that company also expects to post another expansion of gold production in 2012. In the near term, talk of higher physical gold supply, looks to be mostly countervailed by positive investment demand talk and positive macro economic views. However, in order to continue to see gold prices push up on the charts today, probably requires ongoing calm from the Euro zone, something positive from the US economic report slate and perhaps a lack of anxiety from the Greek debt negotiations. At least to start, gold appears to be garnering some support from currency market action, but the main focus of the gold trade might remain on the action in US equities. Comex Gold Stocks were 11.460 million ounces up 25,185 ounces. Gold stocks have declined in 13 of the last 20 days. OUTSIDE MARKET DEVELOPMENTS: (6:00 AM CST) Equity markets in Asia were generally higher overnight, as gains in developers and financial shares in China helped to lift prices. European stocks were also stronger to start today, while US equity market action was mostly mixed. Overnight the markets saw talk that the IMF might only be poised to expand its lending capacity by $600 billion, but that news was also bolstered by mostly favorable Spanish and French debt auction results. Also out overnight was somewhat weaker than expected Australian employment data. The US Dollar has started out weaker against the euro and it was also generally weaker against most of the actively traded currencies. In looking ahead, the US markets will see a CPI report, a Philly Fed Business survey, US housing starts and permits, initial and ongoing claims and a 10 Year US TIPS auction. Expectations for the US data call for generally flat readings from the housing sector figures, but expectations call for stronger information from the claims and Philly Fed reports.