Gold Pops And Drops To Start Week - Gainesville Coins News
No Minimum order! We accept Pay with Credit Card
Call Us: (813) 482-9300 Mon-Fri 9:00AM-6:00PM EST
Login or Register
Log into your account
About Gainesville Coins ®
Billions Of Dollars Bought And Sold A+ BBB Rating 10+ Years No Hidden Fees Or Commissions All Inventory Ships Directly From Our Vault

Gold Pops And Drops To Start Week

blog | Published On by
Gold Pops And Drops To Start Week
gold-rally

Gold prices held steady in Asian trading overnight, but faded midday in Europe. That softness was immediately erased as prices jumped more than $9.00 an ounce on the US open. Gold traded above $1,271 an ounce minutes after markets opened. That sudden jump sparked some profit-taking, and prices fell back to unchanged an hour later.

At 10am spot gold was trading at $1,265.00 an ounce, just 70 cents below Friday's close. Spot silver was trading at $17.68, up 1%.

A marginally weaker dollar this morning is helping precious metals. The euro gained earlier today on upbeat wholesale prices reports in the EU.

Oil prices are weaker this morning, as Iraq announces that it will not sign any agreement to freeze or cut oil production. The Iraqi oil minister cited that the nation needed to increase oil exports to pay for the ongoing war with Daesh (ISIS).

stock rally

Stocks opened higher on the news of several blockbuster merger deals. TD Ameritrade and Toronto-Dominion Bank announced that they will buy Scottrade for $4 billion, then carve it up between them. In the manufacturing sector, avionics giant Rockwell Collins will purchase B/E Aerospace for $6.4 billion. B/E is a major supplier of aircraft interiors for commercial and business jets, while Rockwell Collins is one of the world's largest supplier of avionics and in-flight entertainment systems.

Of course, the huge news this morning is AT&T's plan to purchase Time Warner for $85 billion. To no one's surprise, the announcement sparked concerns that the deal would concentrate too much power in one company. AT&T's cable TV and cellphone service, combined with Time Warner's ownership of HBO, CNN, television channels, and movie production, would create a company that controlled major content providers and delivery systems.

All the talk of PMIs and mergers has given markets a risk-on attitude today. This is being reflected in lower bond prices, as investors cycle back into equities.

Nervousness over the imminent presidential election has abated, for the time being, but the widening rift between the GOP establishment and Republican presidential candidate Donald Trump promises more turmoil. Some super-PACs have publicly given up on Trump's chances to win the election. Their advertising and "get out the vote" efforts presume a Hillary presidency, and urge GOP voters to help block President Hillary's agenda by voting for Republican senators and representatives.

If Trump does pull out a surprise win in 15 days, his retribution by Democrats and the establishment GOP will be swift and terrible.

 

The opinions and forecasts herein are provided solely for informational purposes, and should not be used or construed as an offer, solicitation, or recommendation to buy or sell any product

About the Author

Everett Millman

Steven Cochran

Precious Metals Market Analyst
BS University of South Florida (2002)

A published writer, Steven's coverage of precious metals goes beyond the daily news to explain how ancillary factors affect the market.

Steven specializes in market analysis with an emphasis on stocks, corporate bonds, and government debt. He writes a monthly review of the precious metals markets for SurvivalBlog.com.

This site uses cookies for analytics and to deliver personalized content. By continuing to browse our site, you agree that you have read and understand our Privacy Policy.