Compiled 05/22/12 6:00 AM (CT) Statistics: London Gold Fix $1,575.75 $-14.50 LME Copper Stocks 223,975 tons -400 tons. SILVER MARKET FUNDAMENTALS: (6:00 AM CT) Like gold, the silver market isn't benefiting from a series of easing hints from widely diverse geographical areas. While the markets apparently need to see proof of an actual shift from austerity policies to growth policies in Europe, there are some players who think that the issue of a possible Greek exit is simply serving to trump the potential benefit of a shift toward growth policies. Many physical commodity markets have also remained under pressure because the US Fed seems to need even more evidence of US slowing before they invoke fresh easing efforts. For the action today, adverse currency market action, mixed early equity market performance and the prospect of mixed data from the US would seem to leave the bear camp with an ongoing edge. Some traders think that silver has largely worked its spec long position down to a less vulnerable level, but without a more definitive improvement in global macro economic conditions, standing up to an established down trend pattern on the charts is a difficult proposition for the silver trade. Comex Silver Stocks were 141.823 million ounces up 109,536 ounces. OUTSIDE MARKET DEVELOPMENTS: (6:00 AM CT) Hong Kong shares finally managed a small rise last night and in the process that market broke a long chain of daily losses. Even the Japanese Nikkei managed a recovery last night and the slightly improved global economic tone today might be the result of more talk of a shift away from strict austerity measures and toward more growth orientated policies. In fact, many equities markets have continued to draw some lift from recent hints that the Chinese government was poised to increase infrastructure spending, as a way to cushion the Chinese economy against further slowing. European equity markets were also showing some recovery action today ahead of the EU summit, which could further the concept of growth over austerity. With Italian and Spanish debt yields slightly lower overnight and an EU payment to Greek banks expected at the end of the week, the markets are seeing a minimal improvement in macro economic psychology. The US economic report slate today presents existing home sales, a Richmond Fed manufacturing report, a US Treasury auction and an early US Fed speech.
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