Compiled 07/02/12 6:00 AM (CT) Statistics: London Gold Fix $1,596.25 +$26.75 LME Copper Stocks 256,300 tons -850 tons SILVER MARKET FUNDAMENTALS: (6:00 AM CT) Like gold, the silver market has shown some back and fill action on the charts after the rather surprising run up in prices at the end of last week. The silver market seems to have lost the risk on vibe from the end of last week, as Chinese data overnight seems to have rekindled fears of global slowing. With some fresh turmoil within the EU seen with respect to a potential boycott of ESM bond buying activities, even the positive spin toward the EU debt crisis seems to have been reversed. Even more discouraging to silver longs, is news that silver derivative holdings declined at the end of last week as that suggested some investors decided to reduce holdings of silver into the month and quarter end. For the action today, some traders are probably fearful of the US scheduled report slate, which is expected to show weak to unchanged readings later this morning. Comex Silver Stocks were 145.933 million ounces up 136,549 ounces. The Commitments of Traders Futures and Options report as of June 26th for Silver showed Non-Commercial traders were net long 7,900 contracts, a decrease of 5,082 contracts. The Commercial traders were net short 13,614 contracts, a decrease of 6,871 contracts. The Non-reportable traders were net long 5,715 contracts, a decrease of 1,788 contracts. Non-Commercial and Non-reportable combined traders held a net long position of only 13,615 contracts. This represents a decrease of 6,870 contracts in the net long position held by these traders. OUTSIDE MARKET DEVELOPMENTS: (6:00 AM CT) Chinese stocks were mixed in the wake of the latest domestic economic measures which showed the softest PMI readings of 2012. Most stock markets in Europe were tracking slightly higher today despite the slack Chinese data from overnight and that suggests the benefit of the EU summit has at least partially lived through the weekend. However, many market participants will still be watching sovereign debt yields in Europe for a real reading on the current condition of the European debt crisis. The US scheduled report slate today will bring a US Manufacturing PMI report, Construction Spending and a Online Help wanted report that might be given added attention because of the Monthly Non-farm payroll report due out at the end of this week.
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