Compiled 12/15/11 6:00 AM (CT) Statistics: London Gold Fix $1,590.00 -$45.00 LME Copper Stocks 382,075 tons -75 tons SILVER MARKET FUNDAMENTALS: (6:00 AM CT) Like gold, silver prices are showing some short covering action in the early Thursday US trade action. Silver and other physical commodities are probably garnering some support from higher equities and a weaker dollar. However, the silver bulls have to be very concerned that more Euro zone turmoil is ahead, as little has changed with respect to the posturing over the size of the EU bailout fund and data from Europe and the UK overnight suggests the world continues to slow. While US scheduled data might have a temporary impact on silver prices this morning, it could take definitively better than expected data sweep and even more significant US equity market gains ahead just to prompt anything more than simple technical short covering buying in silver. Silver might be partially undermined by news of higher margins on some Asian metals markets overnight but in the near term, silver probably tracks tightly with the Euro and with US equities. Comex Silver Stocks were 111.151 million ounces up 104,736 ounces. Comex Silver Stocks are now at the highest levels since 10/25/2010. Silver stocks have also increased 12 of the last 20 days. OUTSIDE MARKET DEVELOPMENTS: (6:00 AM CT) Some equity markets in Asia were lower for the eighth straight session overnight. Stocks in Europe showed some minor strength to start the Thursday 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 to start this morning but it was making some minor gains versus the Aussie. In the overnight action, the markets saw signs that the UK economy continues to weaken, with November UK retail sales coming in softer than most expectations. The Euro zone posted declining inflation and declining employment figures. The Euro zone also posted lower December services PMI readings overnight, but those figures weren't as bad as some expectations. Major US economic data to be released this morning, includes initial and ongoing claims, an Empire state manufacturing report, Industrial production & capacity Utilization and a Philly Fed Business outlook survey. The US Treasury will float some T-Bills and some 5 Year TIPS today. The market will also see another speech from the Atlanta Fed President today.
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