(IBTimes) - US Gold futures prices finished pit trade lower in
light trading Monday. The precious Yellow metal saw some
consolidation on the charts and a corrective pullback after
recent strong gains that pushed prices well up from last week's
10-month low at 1,526.70.
The Key outside markets were mildly Bullish for the precious
metals Monday, as the USD index is slightly lower, and Crude Oil
prices firmed. That limited selling pressure in the precious
metals markets Monday.
Jun Gold last traded off 2.60 at 1,589.30 oz.
Spot Gold was last quoted minus 2.40 at 1,590.25 oz.
Jul Comex Silver last traded off 0.405 at 28.31 oz.
The World market place was just a bit more at ease to start
the new trading week, as there were no surprises during the
weekend, either from the Group of Eight world leaders meeting at
Camp David, or from the fallout from the JP Morgan (
) trading loss debacle, or from the EU debt crisis.
In fact, the market place was preoccupied with the FaceBook (
) initial public offering (IPO) that appears shakey.
The G-8 during the weekend attempted to assuage the markets by
stating it wants Greece to remain in the EU. And reports out of
Greece said the more conservative political party is regaining
some momentum heading into the June Greek elections. The next big
news headline event for the market place is an EU Summit meeting
in Brussels Wednesday.
There is still some talk of further quantitative easing of US
monetary policy (QE-3) if US economic data disappoints. Such
would be commodity-market Bullish and possibly stock market
Bullish, despite the specter of reduced demand prospects due to
the sluggish economy.
Traders and investors will continue to closely monitor US, EU
and Chinese economic data for early clues on monetary policy
actions from the central banks.
The USD index was slightly lower Monday on a corrective
pullback from recent gains. The index on Friday tapped a 4 month
The "Greenback" has benefited recently on new safe-haven
demand mainly due to the EU situation. The USD index Bulls still
have some upside near-term technical momentum.
Crude Oil futures prices were firmer Monday on short covering
after hitting a new 6.5-month low of 91.12 bbl overnight. Crude
Oil, IMO, is in a Bearish fundamental and technical posture.
WTI Crude Oil 92.54 +1.06 (+1.16%)
The London PM Gold fixing was 1,592.50 vs the prior London PM
fixing at 1,589.50.
Paul A. Ebeling, Jnr.
Paul A. Ebeling, Jnr. writes and publishes The Red
Roadmaster's Technical Report on the US Major Market Indices, a
weekly, highly-regarded financial market letter, read by opinion
makers, business leaders and organizations around the world.
Paul A. Ebeling, Jnr has studied the global financial and
stock markets since 1984, following a successful business career
that included investment banking, and market and business
analysis. He is a specialist in equities/commodities, and an
accomplished chart reader who advises technicians with regard to
Major Indices Resistance/Support Levels.
For more information, go to