Gold
Gold is holding firm this morning at $951.30/oz. China's massive stock
market falls yesterday may have created safe haven demand for gold
overnight. Tomorrow sees the release of Swiss GDP data, German
unemployment figures and UK Purchasing Managers Index data, which are
not expected to be startling either way but which are likely to be
imbued with negativity. This data, coupled with sterling weakness and
the overall turmoil, has some investors playing a waiting game on
preferred entry points to buy gold, which has the potential for an
exceptional September. Others wary of missing the rally or throwing the
towel in and buying in anticipation of the traditional strong autumnal
period. In the short term, gold will need to break through $955/oz in
order to rechallenge the $970/oz level and the psychological $1,000/oz
level.
Silver
Silver has de-coupled slightly from gold and is showing a strong
bullish sentiment. It touched $15/oz this morning and will need to
break through that again for it to challenge resistance at the $16/oz
level. Silver is currently trading at $14.88/oz.
Platinum Group Metals
The National Union of Mineworkers and Impala Platinum have agreed to
further talks to try and settle the wage dispute. If these talks break
down there could be the possibility of a cessation of production in the
world's largest platinum producer. With this in mind, there is good
demand for platinum with nearly 500kg being turned over on the Shanghai
Gold Exchange last night. It is currently trading at $1,245/oz.
Palladium is currently $292/oz and rhodium $1,575/$1,675/oz.
