Written Commentary
GOLD / SILVER
In retrospect, the precious metals markets received a double dose of bullish fuel yesterday from the Fed, as the Fed increased economic concern at the same time that they promised unrelenting and “massive” assistance and that has turbocharged gold prices. While not a recent definitive driving force for gold prices the declines in the dollar have now become material and are expected to continue off the Fed moves which should in turn lift gold.
PLATINUM
While the PGM markets should draft some support from what appears to be progressively improving economic conditions, the action in the markets suggest otherwise. It should be noted that production news this week has also been negative, with some African PGM mining companies indicating the shutdown might not markedly impact their output forecasts.
COPPER
The copper market exploded yesterday for a massive range up move, and in the process closed the gap left from the beginning of the panic caused by the coronavirus outbreak. However, the trade should be somewhat supported today by news of lower Russian January through April copper exports from yesterday and from a very bullish Chinese copper demand forecast.
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