Written Commentary
GOLD / SILVER
At least in the early going today, the gold and silver markets should draft support from a downside extension in the dollar index. However, gold has failed to benefit from the Dollar slide at the same time that silver has benefited.
PLATINUM
The bifurcation of the PGM markets might end today with palladium favor waning temporarily and platinum minimally benefiting from spread reversals and classic short covering buying.. At least in the near term, the talk of substitution of palladium with platinum is given little merit and it is possible that some speculative positions are utilizing short platinum positions to protect long palladium positions.
COPPER
While the copper market is showing strength overnight with a 3-day high, the bull camp should be very discouraged with the lack of upside action this week in the face of a series of very favorable Chinese economic developments. In fact, the inability to drive sharply higher might suggest prices have reached a temporary plateau until non-Chinese copper demand improves.
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