Retail Investors Likely to Focus On Equities This Week July 31, 2017 Quite a few of the companies reporting earnings this week will keep the retail investor focused on equities. So far this quarter, 73 percent of companies that have reported earnings have beat the street estimates, giving investors the confidence that the equity market rally has more room to the upside even if Washington is not capable of getting anything done. Since July 12th, the Gold ETFs have seen a steady decline in holdings as over 1.8 million ounces have been redeemed by investors. I, for one, would expect to see this in a declining market not one trading higher. So even with all these redemptions the price of the yellow metal has been absorbing the selling quite well. At the time of this report, we see the Dollar Index trading just below the 93.50 level that everyone continues to watch. Predicting the direction of the price of Gold every day is as easy as watching the action in the dollar index. On Thursday last week, the Dollar index set a new low for 2017, reaching a low of 93.15. For the Gold rally to continue, we must stay below the 93.50 level in the dollar index. Otherwise, I expect to see some profit taking by those who I call “nervous longs” exiting the market, creating an offer bias on the price for the short term. It is no surprise we have seen buying interest of late in the gold market with the news out of North Korea and the newly imposed sanctions put on Russia. Levels of resistance are now at $1,279 in the December Gold Futures contract and $17.02 in the September Silver Future’s contract. Believe It Or Not The Sun reports a box possibly carrying 4 tons of a “valuable metal” has been found by UK based Advanced Marine Services aboard a Nazi ship that sank off the coast of Iceland in 1939. The metal could be gold stolen from South American banks that may be worth 130 million dollars. Or it could be a pile of rocks. Still, many believe the S.S. Minden was in route to Germany when Hitler ordered the ship to be sunk on purpose. According to The Daily Mail, Advanced Marine Services has asked the Icelandic government for permission to cut a hole in the ship to remove the box. Ergo, finders keepers. However, Iceland is reportedly going to be making a statement on who owns the metal. This isn’t the first time Brits have made their way into Icelandic seas hoping to discover gold rumored to be stolen by Hitler. Rumors of Nazi gold have swirled for decades with some theories saying Hitler was stealing gold and art for the pensions of his top officials. 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 advisers with respect to these areas. By posting this editorial, you acknowledge, understand and accept this disclaimer.