Overnight selling triggered by stronger US economy left gold below the 1300$ line in the sand for few hours. Then, after our usual coffee rendez-vous with the 8;30 A.M data, we had a reversal that is giving us a little break form downturn. US posted weak job data with only 162,000 new jobs in July. so far the economy in 2013 added almost 1M new jobs… unfortunately 75% + of these jobs are part-time! the job data putted the US$ index under a little pressure and lifted the metals back around 1300 and 20$. We’ ll see the close today but a close under these levels is bad news, metals are performing once again modestly and seem to me to be running out of gas. This is bad news, even in the slow season for PM’s, and we need to be patient a few more weeks for the busy time of the year to kick in. Another leg down to this correction is possible, actually probable, but I think the bottom lows are still in place. Please read my past article on the technical argument for a 1 more leg down in the correction that started in April…
Numismatic gold in higher grade continue to perform better than bullion gold prices, premiums are unchanged, delivery time is still indicating that the metals are not abounding but also demand is like-warm as per now. More updates lately, as you imagine, today is kind of slow, we had better volumes in physical yesterday,
talk to you soon!