Silver and Gold Today
Gold is down $10 at $1202 and Silver is off 38 cents at $16.9 as of this writing. The net effect of today’s events thus far have added to overnight weakness on the back of USD strength
The ECB announced no changes as expected to its monetary policy at 7:45 ET. The Euro weakened vs the USD post announcement. Draghi’s press conference has started, and the EURO is not liking what he is saying. Jobless claims are out with the most pronounced reactions we see so far in a stronger Vix and softer Equity futures. Markets are just beginning to digest the info as of this writing
At Davos early this morning, UK PM Theresa May defended globalization in a post Brexit world. Free markets were extolled and the GBP would find the right level for trade.
Yesterday, the USD rallied while Bonds and Gold dropped following Yellen’s San Fran speech, countering the effect Trump’s “weak dollar” statements made the day before.
Charts: Bad Candles Loom, RSI looks toppy, and Inauguration on Deck
interactive charts here
Physical Markets
Gold EFP (Cash to prompt future) was 20/50 yesterday (cash over) as Feb converges with cash. Chinese interest in a specific Gold bar through London is working way through the cash market. This not a a new phenomenon and reflects the premium Asia pays over the West to cash. All other globally liquid forms currently trading normally. No signs of backwardation or GOFO changes in April EFP or spreads at this point.
Countries looking for liquid, portable, convertible assets players adding fresh buying. Examples include Venezuela, Turkey, and smaller Eurozone players. India has lowered taxes, China always a known factor with wild card potential
FWIW
Anyone who has had a student loan can handicap the outcome of the footnote highlighted in the picture below. “Revised figures show that many more students are failing to pay back loans than thought”was Barbarian Capital’s summary of the WSJ article here
h/t
@JakeCahan for pic
Good luck
via http://ift.tt/2iWgaeo Vince Lanci