Compiled 06/25/12 6:00 AM (CT) Statistics: London Gold Fix $1,569.00 -$11.50 LME Copper Stocks 253,200 tons +225 tons SILVER MARKET FUNDAMENTALS: (6:00 AM CT) Unlike gold, the silver market wasn't able to rebound from the lows forged last week. While silver could be considered short term technically oversold after last week's slide of $2.50 an ounce, the overall macro economic outlook seems to favor the bear camp to start. Silver has recently tracked its industrial/physical commodity market fundamentals, but this morning, silver has managed to diverge from the initial weaker track being seen in copper and crude oil prices. At the end of last week, Comex Silver Stocks were pegged at 146.374 million ounces for a daily gain of 369,889 ounces. The Commitments of Traders Futures and Options report as of June 19th for Silver showed Non-Commercial traders were net long 12,982 contracts, a decrease of 118 contracts. The Commercial traders were net short 20,485 contracts, a decrease of 1,636 contracts. The Non-reportable traders were net long 7,503 contracts, a decrease of 1,517 contracts. Non-Commercial and Non-reportable combined traders held a net long position of 20,485 contracts. This represents a decrease of 1,635 contracts in the net long position held by these traders. While the COT report still showed a 20,000 contract non-reportable and non-commercial net long positioning, into the overnight low, silver was trading another 70 cents an ounce below the level where the COT report was measured. Therefore the silver market continues to whittle down its spec long positioning but without a vast improvement in macro economic sentiment, it could be difficult for silver to pull in a fresh wave of buyers. OUTSIDE MARKET DEVELOPMENTS: (6:00 AM CT) Chinese equities were weaker overnight with some measures posting the biggest declines of the last month. European equities were also weaker this morning, with investors apparently not anticipating anything constructive or definitive from the coming EU summit. The US scheduled report slate today contains a Chicago Fed National Activity Index, New Home sales and a Texas manufacturing survey, with the new home sales release potentially the most significant US report due out today. At least in the early action it would appear that risk-off sentiment has started the week with an edge over the risk-on crowd.
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