Monday, July 09, 2007
Precious Metals Start Week On Positive Note
Bloomberg reports on currencies. "Canada's dollar touched a 30-year high as investors anticipated the Bank of Canada will raise the borrowing cost tomorrow to cool the economy. Policy makers on May 29 said rate increases may be needed 'in the near term,' citing 'excess demand' in the world's eighth-biggest economy."
"'The Canadian currency will do better against the low- yielding currencies,' said Phyllis Papadavid, a currency strategist at Lehman Brothers Holdings Inc. in London. 'Any indication that bank would keep on with its monetary tightening drive would expedite that move.'"
"Canada's dollar was little changed at 95.28 U.S. cents at 4:08 p.m. in Toronto. Earlier, it reached 95.74 cents, the highest since March 3, 1977. One U.S. dollar buys C$1.0495. The currency last traded at par with the U.S. dollar in 1976."
From MarketWatch. "Gold futures closed sharply higher Monday, extending their prior-session gains, boosted by softness in the dollar and general strength in the metals market. Gold for August delivery closed up $7.70 at $662.50 an ounce on the New York Mercantile Exchange. Other metals prices also gained ground."
"'Today's movements seem to be a buy into the metals and commodities in general,' said Zachary Oxman, senior trader at Wisdom Financial. A supply shortage and strike issues in base metals, such as London copper, are pushing the complex higher, he said."
"'Gold is coming off of an oversold situation where most of the longs from early 2007 were liquidated, which is leading to a market that can be driven quickly either way as the trade re-approaches the market,' Oxman said."
"Crude-oil futures declined Monday, but traded above $72 a barrel, as traders locked in profits from recent gains. On the currency markets, the dollar 'generally has a softer bias after being unable to sustain upticks ahead of the weekend despite firm jobs data and a backing-up in U.S. yields,' said Marc Chandler, foreign-exchange strategist at Brown Brothers Harriman."
"The dollar traded at 123.42 yen, while the euro held at $1.3628. The British pound traded at $2.0147."
"'Gold prices started the new week off on the same positive note it finished the last one, as returning market participants found a softer dollar once again conducive to being on the long side of the bullion position fence,' said Jon Nadler, analyst at Kitco Bullion Dealers."
"Also on Nymex, September silver closed up 6.30 cents at $12.820 an ounce, October platinum gained $6.90 at $1,318.0 an ounce and September palladium gained $2.15 at $371.10 an ounce."
"'The Canadian currency will do better against the low- yielding currencies,' said Phyllis Papadavid, a currency strategist at Lehman Brothers Holdings Inc. in London. 'Any indication that bank would keep on with its monetary tightening drive would expedite that move.'"
"Canada's dollar was little changed at 95.28 U.S. cents at 4:08 p.m. in Toronto. Earlier, it reached 95.74 cents, the highest since March 3, 1977. One U.S. dollar buys C$1.0495. The currency last traded at par with the U.S. dollar in 1976."
From MarketWatch. "Gold futures closed sharply higher Monday, extending their prior-session gains, boosted by softness in the dollar and general strength in the metals market. Gold for August delivery closed up $7.70 at $662.50 an ounce on the New York Mercantile Exchange. Other metals prices also gained ground."
"'Today's movements seem to be a buy into the metals and commodities in general,' said Zachary Oxman, senior trader at Wisdom Financial. A supply shortage and strike issues in base metals, such as London copper, are pushing the complex higher, he said."
"'Gold is coming off of an oversold situation where most of the longs from early 2007 were liquidated, which is leading to a market that can be driven quickly either way as the trade re-approaches the market,' Oxman said."
"Crude-oil futures declined Monday, but traded above $72 a barrel, as traders locked in profits from recent gains. On the currency markets, the dollar 'generally has a softer bias after being unable to sustain upticks ahead of the weekend despite firm jobs data and a backing-up in U.S. yields,' said Marc Chandler, foreign-exchange strategist at Brown Brothers Harriman."
"The dollar traded at 123.42 yen, while the euro held at $1.3628. The British pound traded at $2.0147."
"'Gold prices started the new week off on the same positive note it finished the last one, as returning market participants found a softer dollar once again conducive to being on the long side of the bullion position fence,' said Jon Nadler, analyst at Kitco Bullion Dealers."
"Also on Nymex, September silver closed up 6.30 cents at $12.820 an ounce, October platinum gained $6.90 at $1,318.0 an ounce and September palladium gained $2.15 at $371.10 an ounce."
# posted by Ben Jones @ 3:05 PM 
