interesting 24 hours for precious metals, starting with yet another suspension of trading as an illiquid market was hit with a 1500 contract order, which pushed the yellow metal down $10 rapidly. After trading as low as USD $1225 (leading to a 'gold is crumbling' headline on Business Insider), gold caught a bid, and has since staged an impressive $30 rally to sit above the USD $1250 support line. ECB chatter about being 'technically' ready for negative rates, another disappointing US pending home sales report, which fell for a fifth straight month and is now negative y.o.y for the first time since April 2011, and a miss in the Dallas Manufacturing report (1.9 vs 5.0 expected) all added to the upside impetus, with silver now back above USD $20.00 as well Tonight promises to be interesting with building starts (and permits), Case Shiller housing, consumer confidence and Richmond Fed manufacturing all out.
ABC Bullion Chief Economist. Gold bull since early 2000s, have spent +20yrs working in investment analytics, research & portfolio construction. Author of two books on investing in gold and causes of the GFC. Lover of markets, competition & technology