The GraveYard Shift

[JD400]

Closing Report Good Evening everybody


The Metals:



Gold gained $7.80 to $1206.20 at about 9AM EST before it chopped back lower at times, but it still ended with a gain of 0.43%. Silver rose to as high as $14.335 and ended with a gain of 0.64%.



Euro gold climbed to €1031, platinum gained $10 to $821, and copper remained at about $2.71.



Gold and silver equities rose roughly 2% in the first hour of trade and remained near that level for the rest of the day.



The Economy:



U.S. current-account deficit sinks 17% MarketWatch

‘Voodoo economics’ is about to kill this bull market, warns Nouriel Roubini MarketWatch

U.S. housing starts rise on jump in multi-family construction Reuters



Tomorrow brings Weekly jobless claims, the Philly Fed index, Existing home sales, and Leading economic indicators.



The Markets:



Oil rose almost 2% after the Energy Information Administration reported that crude inventories fell 2.1 million barrels, gasoline inventories fell 1.7 million barrels, and distillates rose 800,000 barrels.



The U.S. dollar index waffled near unchanged and ended slightly lower.



Treasuries fell on the continued outlook for higher interest rates after this morning’s upbeat housing data sent the Dow, Nasdaq, and S&P mostly higher.



Among the big names making news in the market today were Tilray, Hyundai, and Danske Bank.



GATA Posts:





Russian oil firm seeks alternative to dollars, Reuters says

China's premier insists it's not devaluing the yuan

Zimbabwe miner may pay suppliers in gold amid national cash shortage


The Miners:



Upcoming Presentations at the Denver Gold Forum and Endeavour Silver’s EXK drill results were among the big stories in the gold and silver mining industry making headlines today.



WINNERS

1. Sibanye


SBGL +5.79% $2.56

2. Buenaventura


BVN +4.36% $13.16

3. Alamos Fold


AGI +3.82% $4.62



LOSERS

1. Paramount


PZG -1.94% $1.01

2. DRDGOLD


DRD -1.49% $1.99

3. Gold Standard


GSV -1.16% $1.71

Winners & Losers tracks NYSE listed gold and silver mining stocks that trade over $1.

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The Music:


Passion - God's Great Dance Floor



MMGYS_Day_Of_Atonement_Set_

now playing on our sister board


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Gold Prices Continue to Oscillate in a Tight Trading Range

Gary Wagner Wednesday September 19, 2018 18:32



Gold futures closed higher on the day, with the most active Comex contract (December) currently up $5.40 at $1,208.30. However recent pricing in gold can be best characterized by the tight and narrow trading range, with major support at $1,190 and major resistance at $1,218.

Since the last week of August, gold has effectively been trapped within a $30 trading range. Over the last 17 trading days, gold has closed higher on the day when compared to its opening price on nine occasions and closed lower on the day eight times. Obviously only a minimal price advance or price decline will emerge from this type of oscillating market.



With the FOMC meeting scheduled to begin next week, and the fact that it is highly anticipated that this meeting will result in an interest rate hike, traders and investors are trying to gauge the net effect of higher interest and the 10% tariffs on imported Chinese goods which will begin on September 24.




Regardless of the outcome, next week promises to contain extremely relevant fundamental information that could, in fact, move gold out of the recent narrow and defined range that has defined its pricing.

Currently, the CME’s fed watch tool predicts there is a 94.4% probability that the Federal Reserve will raise interest rates by a quarter percent next week and a 5.6% probability that they will raise rates by a half a percent. In other words, the Fed Watch tool is predicting that there is 100% probability that higher interest rates from the Federal Reserve (fed funds rate) will be implemented next week.

Last week the FedWatch tool was indicating a 99% probability that the Fed will raise interest rates by a quarter percent (25 basis points) at the end of next week’s FOMC meeting.

The real question becomes what the endgame of the Federal Reserve is in regard to where they believe interest rates should be to accomplish their goal of quantitative normalization. To that end, traders and investors will focus intently on comments emerging from next week’s meeting.

For those who would like more information, simply use this link.

Wishing you as always, good trading,
By Gary Wagner

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