9 Signs That China Is Making A Move Against The U.S. Dollar

Mid-Day Gold & Silver Market Report ? 10/17/2013

• Gold, $1,324.40, Up $40.00.
• Silver, $21.94, Up $0.55.

Gold Market Report

Morning Gold & Silver Market Report -- 10/17/2013

DEBT DEAL COULD MEAN NO TAPERING

The domino effect that seems to have begun with the debt-ceiling deal is  causing Precious Metals prices to rise, as quantitative easing tapering is now not expected to begin any time soon. Commerzbank analyst Daniel Briesemann said, ''Tapering will be postponed much further, so that's probably the main aspect behind the current spike in prices.''

Chinese rating agency Dagong downgraded the U.S. sovereign debt rating, saying that the U.S. ''government is still approaching the verge of default crisis, a situation that cannot be substantially alleviated in the foreseeable future.'' This caused the U.S. dollar and stock futures to fall. The weekly jobless claims report was released this morning and  showed claims dropped by 15,000, which was lower than the predicted drop of 18,000. The report's release caused the dollar and stock futures to fall further and Precious Metals prices to rise further.

At 9 a.m. (ET), the APMEX Precious Metals spot prices were:

• Gold, $1,315.90, Up $31.60.
• Silver, $21.83, Up $0.43.

Can Kicked For Three Months Means End Of Rumor Buying?

Gold and silver are rising Treasury bonds are bid, and stocks are leaking off their highs as the momentum igniting euphoria of rumor after rumor has hit the fiscal cliff of a " can-kicked" deal... For now, it's " sell the news" ...

 



 

and VIX has been crushed at the short-end (though not much at the Feb/March expirations)

Closing Gold & Silver Market Report  ------- 10/16/2013

• Gold, $1,283.80, Up $8.60.
• Silver, $21.44, Up $0.22.

Morning Gold & Silver Market Report - 10/16/2013

GOLD COULD RETURN TO SAFE-HAVEN STATUS

Gold and Silver prices are trading slightly higher this morning as the U.S. government shutdown enters its 16th day. A CME Group analyst wrote, ''The markets are still unsure if there is an actual movement forward or backward (on the shutdown). However, if it appears that the U.S. is likely to encounter a default,  Gold prices might return to a safe-haven status.'' A default could occur if Congress cannot agree on a deal to raise the debt ceiling before tomorrow's deadline.

U.S. stock futures are trading higher as well, perhaps on expectations a debt deal will be reached in time to prevent a default.  Fitch Ratings put the U.S.'s credit rating on negative watch  and said that ''prolonged negotiations over raising the debt ceiling ? risks undermining confidence in the role of the U.S. dollar as the preeminent global reserve currency by casting doubt over the full faith and credit of the U.S.'' A ratings downgrade is extremely likely if a debt ceiling deal is not reached in time.

At 9 a.m. (ET), the APMEX Precious Metals spot prices were:

• Gold, $1,281.90, Up $6.70.
• Silver, $21.36, Up $0.14.

Mid-Day Gold & Silver Market Report ? 10/15/2013

• Gold, $1,274.40, Down $4.20.
• Silver, $21.23, Down $0.15.

Morning Gold & Silver Market Report ? 10/15/2013

DEBT DEAL OPTIMISM HAS GOLD LOWER

Optimism surrounding a possible deal to raise the debt ceiling and end the U.S. government shutdown  caused the U.S. dollar to rise. In turn, Precious Metals prices have fallen, giving up yesterday?s gains. Stock futures are higher as Senate Majority Leader Harry Reid said he was ''very optimistic'' about reaching a deal ''this week.'' BTIG chief strategist Dan Greenhaus said, ''While we cannot forget that the Senate is not the House, and risks still remain the House votes down any Senate agreement, the bias has always been for a deal to be reached.''

MarketWatch's Avi Gilburt has asked the question, ''Are we setting up for a Lehman-type event?''  His technical analysis points to that possibility, while also looking at investor sentiment. Gilburt notes that sentiment was very bearish during the stock market?s rise to all-time highs, and now the mood has finally turned bullish. He adds, ''But now that we are approaching what can be a multi-year top, it is time for us to set aside further bullish dreams of grandeur for our equity markets. In fact, the manner in which we have moved up from the 2011 low has now caused me to become quite bearish as I look toward 2014.''

At 9 a.m. (ET), the APMEX Precious Metals spot prices were:

• Gold, $1,264.70, Down $14.00.
• Silver, $21.01, Down $0.37.

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  Shutdowns, Smackdowns, and Touchdowns

   

  Are you among the investors with the mettle to stay with precious metals during this frustrating interlude in the supercycle?

    Louis James, Chief Metals & Mining Investment Strategist | October 14, 2013

Gold Remains Pressured Risk on Shorts Moved Down to 1315

Daily

 

Chart  Prepared by Jamie Saettele, CMT 

-A head  and shoulders top is confirmed.  The objective is below the June low of 1180 at 1150.

-Possible supports along the way are the August low at 1272  (market has traded around that level the last 2 days), the 6/28 close at 1234, and  channel support  (downward sloping),

Trading Strategy: Short, risk  istightened to 1315.  Target is 1150 (basically a test of the lows).  I?ll continue to trail stops as market action allows.

LEVELS: 1208 1234 1260 | 1290 1315 1330

Closing Gold & Silver Market Report -- 10/14/2013

GOLD RISES WITH ECONOMIC UNCERTAINTY U.S. DOLLAR OUTLOOK CAUSES GLOBAL CONCERN

Gold moved up today as the U.S. government remains shut down and hopes of reaching an agreement by October 17 begin to deteriorate. ''There has been some short-covering today ? but overall,  the market is expecting a U.S. debt ceiling agreement eventually  and it is mostly positioning a little bit more on the short side rather than the long,'' MKS SA head of trading Afshin Nabavi said. Larger than normal sell orders have more recently affected bullion prices as the market has been exposed by technical selling.

Even though the U.S. government officially has until this Thursday  to reach a debt ceiling solution, many factors are weighing on whether other countries such as China will continue investing in America going forward. U.S. citizens are nervous that if the government defaults on its debt, the dollar could devalue at a quick pace.  The housing market is already feeling the pressure as investors have been reluctant to purchase or sell in an uncertain economy. ''The confidence of our buyers and sellers is waning very rapidly,'' National Association of Realtors president Gary Thomas told the Senate Banking Committee last Thursday. ''We have transactions canceling right now. We have people not being able to get loans. We can't get beyond where we are at. It's going to go backwards very, very fast.''

At 5:15 p.m. (ET), the APMEX Precious Metals spot prices were:

• Gold, $1,274.80, Up $4.60.
• Silver, $21.29, Up $0.01.