The price of gold starts off the week on a quiet note. A lack of economic news around the globe causing light volume this morning in the CME gold and silver futures. Dollar index close to unchanged this morning also helps to keep the price of gold steady.
The commitment of traders report released Friday showed the funds reduced their net long position by 7,736 contracts week ending August ninth. Position reported 9,930 contracts of long liquidation and 1,594 contracts of short covering. Seems to me that some funds are getting impatient with the price of gold consolidating at these levels and so they are flattening out some of their positions to find a better place to invest their dollars.
The gold ETF market had small inflows on Friday and silver reported some redemptions.
Silver also sitting in a trading range with the price slightly higher on light volume.
Overall just a quiet summer Monday to start the work week.
If you read my report on Friday, you’ll remember one trader sang a song to me to indicate where he thought the market was going: “See you in September”
Well here’s my song for today. Let’s all join in:
Roll out those lazy, hazy, crazy days of summer
Those days of soda and pretzels and beer
Roll out those lazy, hazy, crazy days of summer
Dust off the sun and moon and sing a song of cheer.
Have a wonderful Monday.
Disclaimer: This editorial has been prepared by Walter Pehowich of Dillon Gage Metals. This document is for information and thought-provoking purposes only and does not purport to predict or forecast actual results. It is not, and should not be regarded as investment advice or as a recommendation regarding any particular security, commodity or course of action. Opinions expressed herein are current opinions as of the date appearing in this editorial only and are subject to change without notice and cannot be attributable to Dillon Gage. Reasonable people may disagree about the opinions expressed herein. In the event any of the assumptions used herein do not come to fruition, results are likely to vary substantially. All investments entail risks. There is no guarantee that investment strategies will achieve the desired results under all market conditions and each investor should evaluate its ability to invest for a long term especially during periods of a market downturn. No part of this editorial may be reproduced in any manner, in whole or in part, without the prior written permission of Dillon Gage Metals. This information is provided with the understanding that with respect to the opinions provided herein, that you will make your own independent decision with respect to any course of action in connection herewith and as to whether such course of action is appropriate or proper based on your own judgment, and that you are capable of understanding and assessing the merits of a course of action. You may not rely on the statements contained herein. Dillon Gage Metals shall not have any liability for any damages of any kind whatsoever relating to this editorial. You should consult your advisors with respect to these areas. By posting this editorial, you acknowledge, understand and accept this disclaimer.