Traders Getting Juiced Up Over Metals
Gold: Continued U.S. Dollar weakness and near-record high Oil prices have traders and investors flocking to the Gold market, with spot Gold hitting 27-year highs in Asia this morning. The run-up is causing fresh buying in Gold futures, with the December contract trading as high as $747.10 in early morning trade. With traders still looking for further interest rate cuts by the Federal Reserve this year, speculation that inflation will accelerate is helping the cause of Gold bulls. Currently, December Gold is trading at $743.60, up $3.70.
Platinum: October Platinum soared to nearly 2-month highs during trade in Tokyo, as a weak U.S. Dollar makes Platinum more affordable for non-Dollar buyers. Johnson Matthey Plc. reported that world Platinum demand has risen by 1.2% so far this year, with Europe accounting for just over 1/3 of global demand. In early trade, October Platinum is trading at $1338.50, up $9.90.
Orange Juice: November Orange Juice futures rallied to highs not seen since mid-August, as traders begin to cover short positions before next month’s first official estimate of Florida orange production. Low FCOJ stocks and a declining tree count in Florida are also supportive to prices. However, slack retail demand is keeping a lid on further gains. In early trade, November Orange Juice is trading at 126.20, down 0.20.
Mike Zarembski, Senior Commodity Analyst
Economic Data Scheduled for Friday, September 21, 2007
(All times in U.S. Central Time)
U.S.
None
Canada
7:30 AM: Retail Sales for July (MoM) (consensus 0.0%)
