Market Rundown | Gold Nears $1850, Silver $24.50 in Risk-on Party
RBC and JPM
Note: Active Trader post will be out soon as we get it. We’ve popped a couple levels in this post just in case given the call higher
Market Rundown:
Good Morning. The DX is up 128 points. Bonds are stronger, especially at the long end. Stocks are 40 to 60 bps higher. Gold futures are up $13.80 at $1840. Silver is up 44 cents at $24.50. Crude is down 76 cents, Nat Gas is down almost 10% (42c) trading $4.05. Crypto is slightly higher. Grains are mixed with Wheat up 2.3%. Copper is strangely nowhere.
This is a break from recent price patterns. It appears global markets are looking past the fresh covid outbreak and believe China will stay the course of opening.
Today can also be explained (so far) as the world decides its going to fight recession while the US (stilll) and Japan ( just gets started) fight inflation.
Taken as a whole the world is risk-on today with the USD the fly in the ointment. The combination of USD and Gold up is the thing obviously off in combo and US stocks are anemic if this is risk-on. But the US isn’t the world.
The G-10 currencies minus the Yen are all down 1% vs the dollar.
Tokyo remains closed, but that seems hardly the reason for the moves in Dollar and Gold. Geopolitically, nothing is obvious so far.
Today we have a couple key Moor levels, RBC’s weekly report entitled the Gold Standard, and a JPM presentation for Q1 2023
Good Luck
Tuesday's DATA
9:45 am S&P U.S. manufacturing PMI (final) Dec. -- 46.2
10 am Construction spending Nov. -0.4% -0.3%
Below:
RBCs Gold Standard: interestingly has Gold equity short interest
JPM Q1 Markets: Chart package illustrating their picks
