02/04/2024 09:05

First Up

Gold popped almost $US50/oz yesterday evening, posting another fresh all-time high in the process as investors/traders further digested last week's market-friendly PCE Index data. The Fed's preferred gauge of inflation is cooling which suggests the Fed is getting ever closer to cutting rates. The precious metal is also enjoying the added tailwind of powerful Chinese demand and ongoing global political tensions, what's not to like? Gold has surged ~12% over the last six weeks, and with no near term end in sight for the three bullish drivers mentioned previously, we can see it testing $US2400-2500 before Christmas.

Read more

29/11/2023 09:17

Global Markets

US indices edged higher overnight, but following this month’s strong advance, they do feel tired and in need of a few days' rest before another leg higher into Christmas is likely. However, the current trend is up and this is not the seasonal time to be fighting bullish moves. The ongoing strength by the Dow & Co. is being fuelled by optimism that the Fed has finished raising rates.

Read more

29/03/2023 09:25

Global Markets

The US banking crisis continues to slowly improve but that is leading to a bounce in bond yields which is weighing on growth stocks e.g. the US 2 years have rallied from 3.55% to 4.07% in just 3 days.

Read more

23/01/2023 08:58

Silver ($US/oz)

Both silver and gold have enjoyed a strong start to 2023 as the $US tumbled after years of appreciation, our view is we’re witnessing just the beginning of a significant advance by precious metals with the risk/reward attractive into any dips back towards $US22 for silver.

Read more

07/11/2022 09:19

Chart of the Week

Precious metals were strong on Friday night with volatile member silver rallying over +7% in a session that looks poised to change the downtrend of 2022, it’s not out of the woods yet but it’s close!

Read more

19/09/2022 09:32

Commodities

The commodity that has caught our attention the most over the last couple of weeks is precious metal silver although gold hasn’t yet managed to regain its mojo in quite the same manner. In our opinion, as bond yields approach a top and the $US a similar inflection point the backdrop will grow for a strong recovery by the likes of gold & silver with the latter already starting to shine.

Read more

29/08/2022 09:17

Silver ($US/oz)

Silver and gold both fell over 1% on Friday as a rising $US weighed on the precious metals, in a similar fashion to how we can see a final rally in the $US & bond yields silver looks set to retest the $US18 area.

Read more

04/07/2022 09:34

Commodities

Precious metals have failed to live up to their reputation as a hedge against inflation with silver falling well over 20% from its 2022 high, weighed down by rising interest rates, a strong $US. However we believe there’s light at the end of the tunnel as small position traders are abandoning the precious metal ship on mass, this hot and generally less informed money has fallen to its lowest exposure to sliver in a number of years i.e. a bullish sign for MM.

Read more

22/11/2021 09:33

Chart of the Week

Last week we looked at gold in this section, today we’ve switched to its precious metals partner silver which initially surged higher through 2020 / 21 only to consolidate its significant gains over the last 9-12 months. In the text books this would be described as a bullish flag while it can hold above its mid-point around the $US21/oz area. Theoretically we could...

Read more

05/11/2021 09:52

Silver ($US/oz)

As we touched on earlier it was encouraging to see precious metals rally overnight even as the $US popped higher after the Bank of England restrained from raising interest rates, a major surprise to most economists - I’m thinking the BOE might want to see a clearly defined exit from COVID as the number of cases again rises in the region.

Read more