Written Commentary
GOLD / SILVER
While the US Federal Reserve was not definitive with respect to timing of tapering, the central bank is widely expected to start reducing asset purchases before the end of the year. In short, gold and silver (and many other physical commodities) see the end of the historically free money environment looming on the horizon.
PALLADIUM / PLATINUM
Once again this morning we are surprised with the palladium rally yesterday, we are especially surprised with another higher high this morning. In fact, the gains this week in both palladium and platinum are very surprising as supply chain experts this week have continued to suggest there is no end in sight to the chip shortage idling a portion of global auto production.
COPPER
We are surprised to see the copper market forge another higher high for the move and a 4 day high early today in the face of continued chatter of slowing in the Chinese economy. However, LME copper warehouse stocks continue to tighten, the Fed is not likely to begin tapering until November and the contagion threat from the 2nd largest Chinese real estate company has abated for now.
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