London Bullion Report

0

0
Gold consolidates as currencies mixed ahead of data
Tue, Aug 26 2008, 06:39 GMT
by James Moore
The Bullion Desk
London, 26 August 2008 - Despite a more than forecast rise in US Home Sales the precious metal spent Monday confined to narrow ranges as a UK Bank Holiday dented market sentiment.
EUR/USD traded 1.4696-4808 across the day although the Euro has drifted lower so far this morning ahead of German confidence data. Economic data today will show US New Homes Sales for July and August Consumer Confidence, which is expected to show a modest rise to 53. Also due for release are the minutes of the last FOMC meeting and German Ifo Business Confidence.
The rangebound sentiment was echoed in the energy complex with NYMEX crude closing up 52-cents at $115.11/barrel.
Despite initial dollar related pressure in Asia gold again remained supported by strong physical demand, forming a base around $817. After a thin European session the metal saw a brief dip to $815.90 but would remain supported by the Euro the remainder of the day. Physical demand has enabled gold to form a good base over the past week, and with equity markets under pressure and credit market liquidity becoming an issue again we may start to see further safe-haven investment demand from longer-term players. Friday’s Commitment of Traders report showed a 56.9-tonne fall in the NC net position in the week till August 19th, while commercial players used the price correction to carry out short covering as well as adding 2M/ozs of longs.

Silver closed yesterday with a 20-cent loss, settling at $13.37 after running into strong resistance ahead of $13.60. The past week has seen silver stage a technical correction with the RSI rising from an oversold 18 to a more neutral 30, and is currently in the process of base building above $13/oz. The recent correction has drawn further investment demand through the ETF’s, with holdings in the iShare fund rising to a record 208.14M/ozs. Silver has run into an area of more substantial chart resistance, but given the gain in gold we could see silver challenge back towards the 400-day MA ($15.02). COT data for the week till August 19th showed a 22.3M/oz reduction in the NC net long to 157.82M/ozs.

Platinum finished Monday down $10 at $1427 having tested down to $1400/oz in Asia. While increased industrial demand has provided good support to platinum the metal has so far been unable to conquer technical resistance at $1490, the previous all-time high. For now we expect platinum to consolidate in the $1410-90 area and may need gold to push above $850 before challenging towards $1540.

Palladium closed unchanged yesterday having worked in a $10 range between $280-90. Good chart support is expected at $278/270 in the coming sessions although for now the metal is likely to struggle to regain the $300 level.

Published on
Tue, Aug 26 2008, 08:13 GMT
Archive
- Precious metals find support after cash rout
Published On Tue, Dec 2 2008, 10:12 GMT
- Gold slips, platinum gains as traders wait rate news
Published On Mon, Dec 1 2008, 07:51 GMT
- Precious metals confined to thin range trade
Published On Fri, Nov 28 2008, 08:07 GMT
- Metals consolidate in holiday markets
Published On Thu, Nov 27 2008, 10:55 GMT
- Platinum/silver recover losses as gold tests higher
Published On Fri, Nov 21 2008, 08:25 GMT
[ View All ]
TheBullionDesk Limited
| Rose and Crown Walk, Saffron Walden, Essex, CB10 1JH
http://www.thebulliondesk.com/ | info@thebulliondesk.com
Legal disclaimer and risk disclosure
TheBullionDesk has taken every precaution to provide the most accurate information possible. However it is provided without warranty or claim of reliablity.
PLEASE READ THIS DOCUMENT CAREFULLY BEFORE ACCESSING OR USING THE SITE. BY ACCESSING OR USING THE SITE, YOU AGREE TO BE BOUND BY THE TERMS AND CONDITIONS SET FORTH BELOW. IF YOU DO NOT WISH TO BE BOUND BY THESE TERMS AND CONDITIONS, YOU MAY NOT ACCESS OR USE THE SITE. THEBULLIONDESK MAY MODIFY THIS AGREEMENT FROM TIME TO TIME, AND SUCH MODIFICATIONS SHALL BE EFFECTIVE IMMEDIATELY UPON POSTING OF THE MODIFIED AGREEMENT ON THE SITE. YOU AGREE TO REVIEW THE AGREEMENT PERIODICALLY TO BE AWARE OF SUCH MODIFICATIONS AND YOUR CONTINUED ACCESS OR USE OF THE SITE SHALL BE DEEMED YOUR CONCLUSIVE ACCEPTANCE OF THE MODIFIED AGREEMENT.
It is accepted by the site visitor on the condition that errors or omissions shall not be made the basis for any claim, demand or cause for action. The information and data were obtained from sources believed to be reliable, but we do not guarantee its accuracy.
YOU MAY NOT MODIFY, COPY, REPRODUCE, REPUBLISH, UPLOAD, POST, TRANSMIT, OR DISTRIBUTE, IN ANY MANNER, THE MATERIAL ON THE SITE, INCLUDING TEXT, GRAPHICS, CODE AND/OR SOFTWARE. You may print and download portions of material from the different areas of the Site solely for your own non-commercial use provided that you agree not to change or delete any copyright or proprietary notices from the materials. You agree to grant to TheBullionDesk a non-exclusive, royalty-free, worldwide, perpetual license, with the right to sub-license, to reproduce, distribute, transmit, create derivative works of, publicly display and publicly perform any materials and other information (including, without limitation, ideas contained therein for new or improved products and services) you submit to any public areas of the Site (such as bulletin boards, forums and newsgroups) or by e-mail to TheBullionDesk by all means and in any media now known or hereafter developed. You also grant to TheBullionDesk the right to use your name in connection with the submitted materials and other information as well as in connection with all advertising, marketing and promotional material related thereto. You agree that you shall have no recourse against TheBullionDesk for any alleged or actual infringement or misappropriation of any proprietary right in your communications to TheBullionDesk.
YOU ASSUME TOTAL RESPONSIBILITY AND RISK FOR YOUR USE OF THE SITE AND THE INTERNET. THEBULLIONDESK PROVIDES THE SITE AND RELATED INFORMATION "AS IS" AND DOES NOT MAKE ANY EXPRESS OR IMPLIED WARRANTIES, REPRESENTATIONS OR ENDORSEMENTS WHATSOEVER (INCLUDING WITHOUT LIMITATION WARRANTIES OF TITLE OR NONINFRINGEMENT, OR THE IMPLIED WARRANTIES OF MERCHANTABILITY OR FITNESS FOR A PARTICULAR PURPOSE) WITH REGARD TO THE SERVICE, ANY MERCHANDISE INFORMATION OR SERVICE PROVIDED THROUGH THE SERVICE OR ON THE INTERNET GENERALLY, AND THEBULLIONDESK SHALL NOT BE LIABLE FOR ANY COST OR DAMAGE ARISING EITHER DIRECTLY OR INDIRECTLY FROM ANY SUCH TRANSACTION. IT IS SOLELY YOUR RESPONSIBILITY TO EVALUATE THE ACCURACY, COMPLETENESS AND USEFULNESS OF ALL OPINIONS, ADVICE, SERVICES, MERCHANDISE AND OTHER INFORMATION PROVIDED THROUGH THE SERVICE OR ON THE INTERNET GENERALLY. THEBULLIONDESK DOES NOT WARRANT THAT THE SERVICE WILL BE UNINTERRUPTED OR ERROR-FREE OR THAT DEFECTS IN THE SERVICE WILL BE CORRECTED.
IN NO EVENT WILL THEBULLIONDESK BE LIABLE FOR (I) ANY INCIDENTAL, CONSEQUENTIAL, OR INDIRECT DAMAGES (INCLUDING, BUT NOT LIMITED TO, DAMAGES FOR LOSS OF PROFITS, BUSINESS INTERRUPTION, LOSS OF PROGRAMS OR INFORMATION, AND THE LIKE) ARISING OUT OF THE USE OF OR INABILITY TO USE THE SERVICE, OR ANY INFORMATION, OR TRANSACTIONS PROVIDED ON THE SERVICE, OR DOWNLOADED FROM THE SERVICE, OR ANY DELAY OF SUCH INFORMATION OR SERVICE. EVEN IF THEBULLIONDESK OR ITS AUTHORIZED REPRESENTATIVES HAVE BEEN ADVISED OF THE POSSIBILITY OF SUCH DAMAGES, OR (II) ANY CLAIM ATTRIBUTABLE TO ERRORS, OMISSIONS, OR OTHER INACCURACIES IN THE SERVICE AND/OR MATERIALS OR INFORMATION DOWNLOADED THROUGH THE SERVICE.
TheBullionDesk makes no representations whatsoever about any other web site which you may access through this one or which may link to this Site. When you access a non-TheBullionDesk Web site, please understand that it is independent from TheBullionDesk, and that TheBullionDesk has no control over the content on that Web site. In addition, a link to a TheBullionDesk Web site does not mean that TheBullionDesk endorses or accepts any responsibility for the content, or the use, of such Web site.
You agree to indemnify, defend and hold harmless TheBullionDesk, its officers, directors, employees, agents, licensors, suppliers and any third party information providers to the Service from and against all losses, expenses, damages and costs, including reasonable attorneys' fees, resulting from any violation of this Agreement (including negligent or wrongful conduct) by you or any other person accessing the Service.
Some of the information on this Web site may contain projections or other forward-looking statements regarding future events or the future financial performance of TheBullionDesk Limited. We wish to caution you that these statements are only predictions and that the actual events or results may differ materially.
This agreement shall be construed according according to the laws of the United Kingdom.