The Daily Resource 07/24/2008

• IBTimes RSS
• Print
• E-Mail
• digg
• Del.icio.us

Precious Metals

Gold started down in Hong Kong and, despite a mini-rally early in the New York session, headed lower for most of the day, finishing just off its intraday low at $919.60, down $25.30. Overnight, gold is trending higher.

Platinum-what else?-continues to find non-support, although it did manage to come off its lows at the NYMEX mid-point, and end on an upnote at $1732/oz., down $65. Overnight, platinum has drifted lower.

Silver had sharper ups and downs than gold, but the high points were successively lower and it stumbled to a dismal close at $17.36/oz., down 57 cents. Overnight, silver has moved higher.

It was another bloody day for the precious metals, as all three went into freefall. The usual suspects remained firmly in opposition to the metals, with oil slipping further, the dollar continuing to strengthen, and equities pushing higher.

Dan Norcini, writing on jsmineset.com, summed up the day's action by saying, "We are all crude oil traders now or so it would seem. The entirety of the financial market system is now basically following the minute by minute gyrations in the crude oil market. As it moves lower, stocks move higher and so does the dollar. As it moves higher, stocks move lower and so does the dollar. Commodities in general then take their cue from that which as you no doubt observed today, were being spit out by the hedge funds like some foul tasting broth ..."

Expressing further distaste for developments, Norcini added that, "Gold ... was discarded like a bad habit causing it to crash through several important support levels on the chart. The mining shares did not fare any better as some of them gave up the ghost and decided to go bobbing for earthworms."

• 1
• 2
• 3