(The Weekly Digest reproduces the morning capsules made available every morning before the market open in the Real Time Feeds to the paying subscribers. )
GOLD JUMPS ON CHARLES EVANS’ COMMENTS AND GOVERNMENT SHUT DOWN PROSPECTS
September 27, 2013
Gold jumped this morning on comments by Chicago Fed President, Charles Evans, and government shut down prospects.
The gold market is misinterpreting Evans’ comments. Evans was all over the place regarding taper; gold bulls simply picked up the bullish points and ignored the bearish points.
The gold market is believing that there will be a government shut down, but a shut down is not priced in the stock market. We will know soon who is right.
Gold futures are at $1340, silver futures are at $21.99, and oil futures are $102.98.
S&P 500 resistance levels are 1700, 1710, and 1725; support levels are 1675, 1650, and 1635.
DJIA futures are down 48 points.
GDP IN LINE
September 26, 2013
Q2 final GDP came at 2.5% in line with estimates.
Initial Jobless Claims came at 305K vs. 325K consensus. This shows that the employment picture continues to get better.
Most markets are trading near unchanged in light trading.
Gold futures are at $1332, silver futures are at $21.83, and oil futures are $102.92.
S&P 500 resistance levels are 1700, 1710, and 1725; support levels are 1675, 1650, and 1635.
DJIA futures are up 27 points.
DURABLE ORDERS DISAPPOINT, FOCUS ON WASHINGTON
September 25, 2013
August Durable Goods ex-transport came at -0.1% vs. 0.9% consensus. This data series is very volatile but worth paying attention to.
Attention is shifting to the rancor in Washington regarding continuing resolution to keep the federal government running.
Obama did not meet with Iran’s president, as a result both oil and gold have moved up.
Interest rates are slightly rising.
In the pre-market stocks are moderately positive.
Gold futures are at $1323, silver futures are at $21.74, and oil futures are $103.67.
S&P 500 resistance levels are 1700, 1710, and 1725; support levels are 1675, 1650, and 1636.
DJIA futures are up 14 points.
OIL FALLS ON POTENTIAL TALKS BETWEEN OBAMA AND IRAN’S ROUHANI
September 24, 2013
Obama is speaking at the United Nations today. Iran’s president Rouhani is also visiting New York to attend the United Nations General Assembly session. There is speculation that the two will meet. If a meeting takes place it will be the first such meeting in over 30 years. Oil is falling on the prospect of thawing of relationship between the U. S. and Iran.
As a full disclosure, subscribers to ZYX Short Sell Change Alert are short oil and silver.
Gold and silver are also falling for the same reason.
Interest rates are drifting down.
Stocks are mixed.
House Price Index is up 1% compared to consensus of 0.8%.
Gold futures are at $1314, silver futures are at $21.53, and oil futures are $102.81.
S&P 500 resistance levels are 1700, 1710, and 1725; support levels are 1675, 1650, and 1635.
DJIA futures are up 15 points.
MERKEL WINS BIG IN GERMANY
September 23, 2013
Angela Merkel won big in German elections. Her party, Christian Democrats, won 311 seats in the 630 seat parliament. This was the Christian Democrats’ best result in 20 years.
Short interest in European blue chip stocks dips to the 2006 level. It means that investors are giving up on the idea of Europe falling apart.
In the U. S., expect some jitters due to potential government shut down if no agreement is reached between Republicans and Democrats.
Oil and precious metals are weak.
Stock futures are mixed.
Interest rates are falling.
Gold futures are at $1322, silver futures are at $21.71, and oil futures are $104.06.
S&P 500 resistance levels are 1710, 1725, and 1750; support levels are 1675, 1650, and 1635.
DJIA futures are down 24 points.
