Compiled 04/19/12 6:00 AM (CT) Statistics: London Gold Fix $1,642.50 -$4.50 LME Copper Stocks 262,700 tons +1,550 tons SILVER MARKET FUNDAMENTALS: (6:00 AM CT) At first glance the silver charts appear to present a market that is coiling for some type of decision ahead. The bull camp might suggest that the capacity to respect support around $31.30 hints at some form of value zone. With a mostly acceptable Spanish debt auction result overnight, positive initial equity market action and hopes for a somewhat positive initial wave of US data later this morning, the bull camp might feel like they have the advantage at the start of the Thursday US trade. While the silver trade hasn't paid that much attention to classic physical supply news lately, news that Comex Silver Stocks were placed at only 138.037 million ounces yesterday afternoon, for a somewhat surprisingly large single day decline of 2,084,268 ounces could be seen as a positive development. However, given the pattern of lower highs in silver on the charts, the bull camp probably needs a clean sweep of good US scheduled data to claw out consistent gains on the charts. OUTSIDE MARKET DEVELOPMENTS: (6:00 AM CT) Equity markets in Australia and Hong Kong were higher overnight, with rumors that the PBOC might be set to provide some liquidity to its economy. Asian investors really didn't have that much time to react to the Spanish auction results. European markets were higher to start today on the mostly acceptable Spanish auction results but the markets were also falling back from those initial highs into the US opening. Early in the US trade today, share prices were mostly higher, with the markets generally relieved with the European debt auction results. The US economic report slate today is very active, with initial and ongoing claims, existing home sales, leading indictors and a Philly Fed manufacturing result. Expectations call for a decline in claims, a slight improvement in existing home sales and a decline in the Philly numbers. The US earnings parade will also continue with the general influence of the earnings coming in as a positive for most physical commodity markets.
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