|Day's Range||1,495.30 - 1,497.90|
Natural gas prices moved slightly higher on Thursday following a less than expected build in natural gas stockpiles. Tropical depression 16, is now swirling in the Gulf and is expected to turn eastward making landfall in Louisiana and then Florida. The more west the storm goes the more likely it is to disrupt some natural gas installations.
Investing.com – Investors managed to push gold higher Thursday instead of completely embracing risk, as doubts remained about whether the U.K. will get parliament ratification for its Brexit deal, but Turkey agreed to a ceasefire in Syria.
Gold markets initially fell during trading on Thursday but have found support yet again at the uptrend line underneath which of course is crucial to maintain the upside in a market that has offered so much in the way of positive gains this year.
The US dollar has gone sideways against the Japanese yen during the trading session on Thursday, as we essentially have had nowhere to be. Ultimately, this is a market that is trying to figure out whether or not it can break out to the upside for a longer-term move.
The British pound has gone back and forth during the trading session on Thursday as we continue to see a lot of volatility in this market based upon the idea of a Brexit deal. With that being the case, the market looks likely to be erratic going forward. One thing you can say though, it’s definitely overbought.
The Australian dollar launched higher during the trading session on Thursday, breaking above the 50 day EMA in a relatively strong sign for the Aussie. However, at the end of the day we still have significant headwinds above and from a fundamental standpoint.
Based on the early price action and the current price at 1.1113, the direction of the EUR/USD the rest of the session on Thursday is likely to be determined by trader reaction to a pair of Gann angles at 1.1117 and 1.1119.
Gold will remain under pressure on Thursday if investors continue to demand risk. If they change their minds later in the session due to the release of weaker-than-expected U.S. economic data then look for gold to recover. We saw this on Wednesday when gold rallied in response to a disappointing U.S. retail sales report.
Before the release of the jobs data, a senior Reserve Bank official said, Australia’s property downturn is not only hitting household consumption, it’s a big drag on economic growth and inflation.
Let me recap on both the short-term top this month, and then a look at the bigger picture of what happened last October through December and if we are going to see that happen again. There is the possibility we get a massive rally if the market breaks to new highs. The market is loaded and ready for action. Whichever way it breaks will have a strong impact on precious metals and bonds.
Based on the early price action, the direction of the December WTI crude oil futures contract on Thursday will likely be determined by trader reaction to the short-term 50% level at $52.94.
Based on this week’s price action and the current price at $1492.20, the direction of the December Comex gold futures contract on Thursday is likely to be determined by trader reaction to the 50% level at $1489.20.
Investing.com - Gold prices fell on Thursday in Asia even after weak retail sales data from the U.S. suggested there might be a higher chance of interest rate cuts from the Federal Reserve.
Based on the early price action and the current price at .6294, the direction of the NZD/USD on Thursday is likely to be determined by trader reaction to the short-term 50% level at .6279.
Investing.com - Oil prices fell on Thursday in Asia after the American Petroleum Institute (API) said crude stockpiles rose sharply last week.
(Bloomberg) -- Canada’s $8 billion precious metals-focused fund manager is bargain-hunting for stakes of mining firms that have seen valuations tumble.“Look for the companies that are beaten up,” Sprott Inc. Chief Executive Officer Peter Grosskopf said, sharing his company’s investment strategy. If the bigger producers of the metal don’t end up buying their smaller rivals, “the juniors will consolidate among themselves to create bigger companies,” he said.Gold miners may become attractive targets as the supply pipelines of their bigger rivals start running dry. Reserves still buried in mines owned by the largest producers have fallen by more than half from a 2011 peak, according to data from Bloomberg Intelligence.Detour Gold Corp. was an example of one those beaten-up companies and “somebody missed that one as an acquisition candidate,” Grosskopf said in an interview in New York Tuesday. In August, Sprott agreed to buy Tocqueville Asset Management’s gold strategy business. Tocqueville owns a 4.6% stake in Detour Gold.Tocqueville had started investing in Detour Gold a few years ago when the miner was in bad shape, he said.Detour Gold shares have climbed 72% this year after Paulson & Co. convinced shareholders of the mining company to overhaul its board of directors, including its interim CEO, ending a nasty six-month proxy battle. The stock fell 22% last year.Torex Gold Resources Inc. is another attractive asset that could be a potential target, according to Sprott.While the next wave of consolidation involving smaller gold producers may take at least five years, Sprott and Tocqueville were confident of the strength in the gold rally.Gold prices have climbed this year as signs of weakening global growth bolstered the case for the Federal Reserve to keep cutting U.S. borrowing costs, boosting the appeal of the non-interest bearing metal. Earlier this month, Fed Chairman Jerome Powell said the central bank will resume purchases of Treasury securities in an effort to avoid a repeat of recent turmoil in money markets.Spot gold rose 0.5% to $1,488.88 an ounce at 1:27 p.m. in New York. The metal is up 16% this year.(Updates with outlook for gold prices in final three paragraphs.)To contact the reporters on this story: Vinicy Chan in New York at email@example.com;Justina Vasquez in New York at firstname.lastname@example.orgTo contact the editors responsible for this story: Luzi Ann Javier at email@example.com, Steven FrankFor more articles like this, please visit us at bloomberg.com©2019 Bloomberg L.P.
Investing.com - U.S. crude stockpiles rose sharply last week, according to an estimate from the American Petroleum Institute released Wednesday.
Silver markets have fallen again during the trading session on Wednesday, as we are below the 50 day EMA. That is obviously an area that should attract some attention, but more importantly I’m paying attention to the possibility of a descending triangle.
Crude oil markets fell slightly during the open on Wednesday, but continue to find buyers underneath as we are approaching the bottom of a larger consolidation range for both grades of crude oil that I follow here at FX Empire.
Gold markets have tried to go back and forth during the trading session on Wednesday, but quite frankly have been a bit lackluster. At this point, there are a lot of questions about gold, and quite frankly the trendline needs to hold or things could suddenly change.
The US dollar has pulled back slightly against the Japanese yen during the trading session on Wednesday, reaching down towards the 200 day EMA. This is an area that obviously will attract a lot of attention, and therefore a longer-term traders are suddenly involved.