Compiled 02/21/12 6:00 AM (CT) Statistics: London Gold Fix $1,737.00 +$5.00 LME Copper Stocks 305,425 tons -450 tons Shanghai Deliverable stocks were 217,142 tons +18,940 GOLD MARKET FUNDAMENTALS: (6:00 AM CST) The gold market has started the week out on a positive footing, with the April gold contract clawing out the highest trade since February 9th. At least to start, the gold market is relieved that a Greek debt deal has been put in place and that the deal for the time being is being seen as a positive for the world economy. Over the weekend the gold market seemed to get some support from a major fund manager, who suggested that gold and other commodities might perform better than financial assets in the coming year. Clearly gold is tracking positive physical commodity market fundamentals in the early going today, as the spin from the European debt situation is positive, the Euro is stronger, equities are higher and perhaps the gold trade is also garnering some lift from another upside breakout in crude oil prices. Gold might also draft some support from favorable private Indian gold demand projections for 2012, but the main focal point of the trade today looks to remain on big picture macro economic psychology. The big question for many gold traders is, whether or not optimism toward the EU will have a long shelf life? At least in the early action today, the gold trade is likely to take some direction from the Chicago Fed National Activity index, which might need to confirm growth hopes again just to pull in additional gold buyers. Comex Gold Stocks were 11.431 million ounces down 450 ounces. Gold stocks have declined 12 of the last 20 days. The Commitments of Traders Futures and Options report as of February 14th for Gold showed Non-Commercial traders were net long 183,801 contracts, a decrease of 11,890 contracts. The Commercial traders were net short 227,559 contracts, a decrease of 13,058 contracts. The Non-reportable traders were net long 43,758 contracts, a decrease of 1,167 contracts. Non-Commercial and Non-reportable combined traders held a net long position of 227,559 contracts. This represents a decrease of 13,057 contracts in the net long position held by these traders. OUTSIDE MARKET DEVELOPMENTS: (6:00 AM CST) Asian equity markets were generally higher overnight, mainly in reaction to the Greek deal but perhaps from hopes that China was moving to a more supportive policy stance. European equity markets were also higher off the news of the Greek deal but those markets were unable to hold all of the initial gains. The US equity markets are showing positive action to start but some analysts and press outlets are suggesting that the markets are under whelmed with the EU outcome. The markets will see a Chicago Fed National Activity Index release this morning and that report might be given added importance due to the lack of economic news on the docket today. It is also possible that a US Treasury auction will be seen as an important measure of the level of safe haven interest, especially in the wake of the Greek debt deal.