The day's price movements

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benjamen

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I thought it would make things easier to start a single thread devoted to the movement of PM prices each day.

Today (7/6/12) has been fun so far.

First unemployment numbers disappoint and cause metals prices to jump:
http://finance.yahoo.com/news/us-em...RhaWQDBHBzdGNhdANob21lBHB0A3NlY3Rpb25z;_ylv=3
:clap:

Next, the totally legit, non-manipulated force of the market shoves the prices back down:
http://www.silverdoctors.com/in-classic-cartel-form-gold-silver-pop-then-raided-post-nfp-report/



Side note:
Why is the USD getting stronger? Between bad unemployment data and China/Australia working around the dollar, it should be getting weaker?
http://www.silverdoctors.com/austra...nail-into-the-us-dollar-for-independence-day/
 
Last edited:
Yup, the gang is hard at work today. A lot of people have taken the day off since we didn't get a three day weekend this year. I wonder if this smash down is on light volume or heavy volume?
 
benjamen said:
...
Side note:
Why is the USD getting stronger? ...
Click to expand...

I'm going to guess because people are realizing that the last "Euro is saved" news headlines from a few days ago were bunk and the Euro is in trouble.
 
I was thinking the same thing. I've seen a lot of articles this morning relating bad economic data (jobs, etc.) --- but the news doesn't seem to correlate to a weakening dollar, or metal pricing.

I feel like I am watching a carnival game with the markets sometimes.

"Step right up, everyone's a winner!"

ADK
 

I will take the win, and the cheaper spot prices, as I go to make my weekend purchases.
 
Bank of England eased to the tune of 50 Billion Pounds this week. ECB cut interest rates (weakening to stimulate) and China cut interest rates-type easing within minutes of the ECB's announcement. All moves are dollar positive. This is why the dollar is getting stronger this week.
 
Today's (7/12/12) update:

Since yesterday's FED minutes revealing no new (official) printing of USD on the horizon, the dollar has gained against most currencies. This has predictably caused the price of metals denominated in USD to decline. The negative coorelation between the USD index and gold is growing stronger:
http://www.reuters.com/article/2012/07/12/us-markets-precious-idUSBRE85H0KJ20120712

With most projections of the worldwide economy being non-cheerful, futures are falling across the board:
http://finance.yahoo.com/news/stock-index-futures-point-lower-092945795.html
http://www.321gold.com/editorials/berry/berry071212.pdf

Longer looking analysts think a protracted slump will eventually force the FED to do additional quantitative easing and are still calling for high gold prices by the end of the year:
http://finance.yahoo.com/news/gold-hit-2000-fed-easing-083544818.html
General inflate or die ideal:
http://www.321gold.com/editorials/russell/russell071212.html

 
So essentially, the Fed is pretending they care about political consequences and avoiding further (public) interventions. They are allowing deflationary forces to assert themselves (which is ultimately necessary, but so are bankruptcies and letting owners of bad bets accept the consequences for their actions) for now. At some point, political pressure will come to reverse course and goose the engine. We have an extended sale for a while.
 
Today (7/13/12) has been interesting already. We had a sudden drop in the USD index and a corresponding spike in PM prices. However, I have been unable to find any reason for these movements. Does anyone see a market reason for today?
 
benjamen said:
Today (7/13/12) has been interesting already. We had a sudden drop in the USD index and a corresponding spike in PM prices. However, I have been unable to find any reason for these movements. Does anyone see a market reason for today?
Click to expand...

Euro spiked.

There was a rumor the Russian bought a :doodoo: ton of Euros...

IMO.. It has more to do with technicals for the US dollar failing to maintain the MOMENTUM of it's up move. It will need to go into a corrective phase at some point.. Why not now?

The level to watch is 82.80 on the USD.. if we start getting closes below there, things could get really good for gold.
 
I have both GLD and PHYS as paper gold. Today GLD popped and pretty much stayed up, and PHYS (Sprott's stuff) popped then dropped. Disappointing.
 
This has been an interesting day thus far. Despite the dollar gaining strength, both silver and gold are up for the day. As the spot gap between gold and platinum approaches $200 again, it is making platinum tempting.

 
As you said, quite a day for pms. Doesn't look like a big deal at first as gold and silver are modestly green but they rallied against everything except treasuries since US markets opened. That's very encouraging. Let's hope this continues...
 
Down $22.. now down $7..

I'd really like to see green today. Get us above 1592 and 1599 should establish a short term uptrend..
 
Euro in low 1.20's,dollar over 84

GSR approaching 59/1


GOD BLESS OUR TROOPS!!!
 
10 yr treasury below 1.40%.What a deal....


GOD BLESS & BRING OUR TROOPS HOME!!!
 
this is a light volume session. I think gold is going to wait on the jobs numbers tomorrow before picking a short term direction. Even then, I don't think we pop or drop till we get some news from the fed.
 
I was reading a gold seasonality thread on ZH yesterday, and if there's anything to that, it seems we can expect gold to kinda lay there for about another month before rising quickly again. Looking at the last couple years, it seems pretty on, though of course the crazy politics and events we're having could alter that - it's just what things do over a lot of years averaged. On the other hand, could be that stupid human tricks ALSO have this kind of seasonality - correlation doesn't imply the direction of causation if at all - after all.
 
European thinking about letting lose the printers or today being option expiration for gold; which will be the dominate force in PM pricing today? Thus far the bulls are off and running.

 
Something to note..

GDX is basically trading inline with Gold today. Expect? Normal? sure..

Except when you look at what the components are doing. ABX is down 6.6% today. Why is that a bid deal?

ABX makes up 18% of the GDX and the ETF is still somehow up on the day. That is masking HUGE strength.
 

What makes up the other 82%?
 
I thought today closed on a positive note. Will be interesting to see how trading fares on Monday.
 
I get a bit tired of ZH's constant headlining of a surge in prices over a matter of minutes. Already the price is heading back down.

Intraday price movements are not "news". Noticeable price changes over a period of at least a week may be news.

ZH should know better. And for them to link every price change to some incident, however likely, is not much different than the silly headlines you constantly see at Kitco.
 
we need a 2-3 week correction.. Sentiment is too high..
 
...I hate them, on the other hand - I still have my big purchases coming due soon . Nothing sounds to me as good as calming "all in order" type of news right now!!
 
benjamen said:
We need a 2-3 week correction... in time for my next purchase!

Click to expand...

Don't expect it to be too deep. I wouldn't trade positions either. This is really looking like the start of previous major moves.
 
bushi said:
...I hate them, on the other hand - I still have my big purchases coming due soon . Nothing sounds to me as good as calming "all in order" type of news right now!!
Click to expand...

That sounds great to me! I have fiat in hand, but I hate to buy at what looks like a temporary top.
:shrug:
 
Pull up a chart of 2005.. Lots of similarities IMO.. My guess is we should get 12-15% pullback on the miners.. 5-10% on the metal.. Once we get oversold, I'll say something.. It should be quick and make weak hands nervous.
 
so...what you guys are sayin is...its probably not the best or even that great of time to trade in fiat for ASE's?
 
oppie2005 said:
so...what you guys are sayin is...its probably not the best or even that great of time to trade in fiat for ASE's?
Click to expand...

I wouldn't do it for trading. If you are long term, you shouldn't really care. If you are trying to make a large purchase, it's best to wait for big down days.
 
Today's price action is similat to the last few days as the shorts continue to defend their line in the sand. At some point, I would think physical stackers will have to win the day, since there continues to be regular silver consumption yet mine ore quality continues to fall. The ratio has to have an effect at some point......doesn't it?
 
Well today has been interesting so far! The dollar hasn't moved that much, but all commodities seem to be dropping today? With nothing important in the news, what is going on today?

 
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