Good morning. The precious metals are higher in early U.S. trading.
U.S. calendar features Challenger Layoffs, Trade: Goods & Services, Q4 Productivity & ULC Revised, Initial Jobless Claims, Consumer Credit.
ECB steady on rates, reiterates data dependency, cuts growth, and inflation forecasts.
FedSpeak due from Powell & Mester.
Obviously, gold and silver are short-term overbought from a technical perspective and perhaps somewhat overbought from a fundamental perspective.
Nonetheless, with gold and silver prices vaulting higher yesterday and gold prices forging record highs again, the bull camp retains control even without a definitively apparent bullish fundamental theme.
However, gold has forged a five-day low-to-high rally of $123 which suggests the bull camp will need some "help" from the US Federal Reserve Chairman's testimony this morning...[MORE]
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Good morning. The precious metals are higher in early U.S. trading.
U.S. calendar features ADP Employment Survey, Wholesale Sales, JOLTS Job Openings, EIA Data, Beige Book.
FedSpeak due from Powell & Daly.
BoC rate announcement. Steady expected.
With both gold and silver posting higher highs overnight it is clear the bullish track from the prior three trading sessions has remained in place.
In fact, given a significant dip in eurozone producer prices of 0.9%, the prospects of an ECB rate cut in June have jumped.
Apparently, the gold and silver trade are not unnerved by the disappointing Chinese Caixin services PMI reading, but that could be the result of anticipation of a Chinese stimulus package announcement...[MORE]
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Apparently, expectations for a June US interest rate cut have returned which in turn fueled the most significant gold and silver rallies since early December.
However, the CME Fed Watch tool did not show a significant increase in the probability of a June rate cut from just below 50% early last week to only 52.8% after the close Friday.
Therefore, the gold and silver markets are anticipating the continuation of soft US and international data which has already resulted in widespread talk of eurozone, Japanese, and Canadian rate cuts in June...[MORE]
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