Written Commentary
GOLD / SILVER
For the 2nd time this week it would appear as if the gold and silver markets are favoring the flight to quality focus with the positive news from the vaccine trial Monday pushing out a wave of longs and deteriorating sentiment from infections overnight providing some fresh return buying.
PALLADIUM / PLATINUM
While the palladium market initially stood up to the aggressive liquidation in other precious metals markets yesterday, but it finally succumbed to the selling wave with the largest decline since late July. In other words, palladium is clearly acting like gold and silver, with “risk on” psychology pulling money away instead of pulling money in off hopes of improved physical demand. With a pattern of lower highs following last week’s highs, the platinum bulls are not easily pulled into the market.
COPPER
We now expect copper to settle into a choppy trade with that trading range defined as $3.20 and $3.08. Obviously, infection rates are once again undermining global equity market sentiment and that negative influence is magnified with recent Chinese numbers disappointing.
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