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 SILVER MARKET FUNDAMENTALS: (6:00 AM CT) With a fresh new high for the move in March silver overnight, silver has emboldened the bull camp to start the Thursday US trade. Like gold, silver is seemingly benefiting from overnight auction results from the Euro zone, from Chinese easing talk and also from generally upbeat macro economic views toward the US economy. However, Russian silver miner Polymetal posted a 20% increase in its 4th quarter silver production readings and the company also projected more double digit silver production gains for 2012. Also out overnight was news from Peru that Hochschild expects its 2012 silver production to be 20 million ounces but that figure would actually be a decline from the 22.6 million ounces produced in 2011. Comex Silver Stocks were 125.175 million ounces down 464,284 ounces. Silver stocks have increased in 14 of the last 20 days. Fortunately for the bull camp in silver, the silver trade hasn't given that much attention to classic supply side developments recently as attention in the marketplace seems to be locked on to the demand side of the equation. OUTSIDE MARKET DEVELOPMENTS: (6:00 AM CT) 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.
Join the Discussion