Compiled 12/14/11 6:00 AM (CT) Statistics: London Gold Fix $1,635.00 -$30.00 LME Copper Stocks 382,150 tons -850 SILVER MARKET FUNDAMENTALS: (6:00 AM CT) At least in the early action today, silver appears to be under ongoing pressure, with the March silver contract falling to the lowest level since October 20th. In addition to fears that soaring Italian debt yields will ultimate sink the Italian government and economy, the silver trade is also disappointed by the lack of easing promises from the FOMC yesterday. While the Chinese seemed to softer their monetary stance overnight in forward economic forecasts, the trade apparently needs to see something mechanical from the PBOC to see attitudes toward silver and other physical commodities improve. While the US economic report slate is relatively thin today, the silver trade might see strong demand for the US 30 bond auction as just another confirmation that anxiety toward the Euro zone remains very high. It is possible that silver is also feeling some spillover pressure from negative analyst views toward gold over the last 24 hours. About the most positive factor for silver this morning, is the slightly higher early action in US equities, but despite a technically oversold condition, March silver has remained under noted pressure this morning. Some traders suggest that even numbers on the charts at $30.00 might provide some limited support, but unless the attitude toward Europe improves, the bear camp probably feels pretty good about their positioning. Comex Silver Stocks were 111.047 million ounces up 84,399 ounces. Comex Silver Stocks are now at the highest levels in a year. Comex Silver Stocks are at the highest levels since 10/25/2010. Stocks have increased 11 of the last 20 days. Comex Silver stocks are at their highest levels in the past 10. OUTSIDE MARKET DEVELOPMENTS: (6:00 AM CT) Equity markets in Asia were generally lower during overnight trading, while stocks in Europe showed more losers than winners at the start the Wednesday trade. Early indications are that the US markets will open with minimal gains later on today. The US Dollar was slightly weaker against most of the major currencies this morning but was making some minor gains versus the Canadian and Aussie. In the overnight action the markets saw positive Japanese October Industrial output figures and OPEC appears to have come to some agreement on production. The market also saw a Euro-era high yield in 5 Year Italian debt that was auctioned off early this morning. In other developments the UK saw its November Jobless claimants increase by 5,000, with that total unemployment level reaching the highest level in 16 years. The third leg of the Treasury's refunding, the 30-year Note auction, will have results announced today at 12:00 PM. Major US economic data to be released this morning, includes US Import/Export prices and a weekly mortgage application survey early in the trading session. The market will also see a speech from the Atlanta Fed President Lockhart today.
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