Gold Starting the Week In The Red

Michael Bullion Precious Metals Leave a Comment

Gold traded down into settlement ending midway between the high and low for the session.  The yellow metal is currently trading below its 5, 20 and 50 day moving averages indicating a short term bearish pattern but still above the 100 and 200 day moving averages. The other metals are similarly down at midday.  May silver futures settled down to $16.536 …

Gold Giving Back Yesterday’s Gains

Michael Bullion Currencies, Precious Metals Leave a Comment

The trading day started with digesting the news of the departure of Trump’s economic adviser Gary Cohn, stepping down from his post last night.  Gold opened above yesterday’s close on safe haven demand as the spooked equity markets opened lower on trade war fears amid the turmoil in the economic adviser post.  Gold initially started trading upwards after the open, …

Gold Testing Major Resistance

Michael Bullion Currencies, Precious Metals Leave a Comment

Gold fell on continued support for the U.S. dollar and a rally in the equity markets.  The equity markets opened lower on tariff and Italian election fears but shook this off and rallied back into the afternoon.  The U.S dollar had much the same experience starting lower and moving higher into afternoon trading.  The yellow metal traded right around its …

Gold Settles at 2018 Lows and then Rallies

Michael Bullion Currencies, Precious Metals Leave a Comment

Gold fell today hitting weekly lows and settling at the lowest level since the end of 2017.  After settlement, trading swung back in gold’s favor erasing the losses for the trading session.  This was due largely from the tariffs announced by President Trump on aluminum and steel.  The tariff news hit the U.S. Dollar dropping it into negative territory, with …

Gold Falters on Dollar and Yields During Powell Speech

Michael Bullion Precious Metals Leave a Comment

The big news today was the first public appearance of the new Fed Chair Jerome Powell.  The market reaction suggests the analysts took his comments as a tad more hawkish than expected.  Bond yields and the U.S. Dollar both spiked as Powell spoke primarily about the strengthening economy.  At the same time Gold fell inversely with the rise in yields …

Trade Alert, Seasonal Factors Offer Potential in Gold

Michael Bullion Precious Metals Leave a Comment

There is very limited ability to change the supply of gold, since there is only so much in the ground and mines cannot readily change their output without extensive capital expenditures and time to implement.  This is why so much effort is spent on tracking demand for gold.  China, for instance, along with India, is always one of the top …

Why Gold Is Not Benefiting From Being a Safe Haven

Michael Bullion Currencies, General Commentary, Precious Metals Leave a Comment

Many will wonder with all the market turmoil why the price of gold futures has not also risen commensurately over the last few sessions.  The issue here is with the pressure of the U.S. Dollar.  As the currency of last resort, the U.S. dollar has seen recent strength as global equity markets tanked on Friday and Monday.  While the equity …

After Mixed Data Gold Settles Slightly Lower

Michael Bullion General Commentary, Precious Metals Leave a Comment

After Mixed Data Gold Settles Slightly Lower We saw several data releases that were a mixed bag for Gold.  Initial jobless claims announced today are at the lowest level since February 1973.  U.S. housing starts fell 8.2% MoM, while new building permits came in better than expected somewhat offsetting the housing starts data.  The Philly Fed survey showed weaker than …

Gold Higher on Equity Volatility and Crypto Market Plunge

Michael Bullion Precious Metals Leave a Comment

Gold Higher on Equity Volatility and Crypto Market Plunge Gold settled higher Tuesday starting the week in positive territory despite the dollar also finishing positive.  The major stock indices started the session positive but moved consistently lower throughout the day as underwhelming earnings from Material and Energy companies dragged indices lower.  This also corresponded with an uptick in the VIX …