Has The Correction In Gold Begun?
Gold was the big mover in
today’s futures market, continuing its two-week-old correction.
Meanwhile, Treasuries were again pushed
higher, today as a result of more deflation talk coming from Federal Reserve
board member. And equities, too, were higher .
Equity
US stocks rose today, helped by software stocks.
Hypermarkets and super center shares gained traction as the world’s largest
retailer, Wal-Mart, advanced on cutting prices and expanding the selection of its
DVD rental service. The diversified bank, industrial conglomerate, and
pharmaceutical indexes were also among the top performers. On the other end of
today’s performance spectrum, gold shares lost ground on a ratings downgrade for
the world’s largest gold producer. The personal products index fell as two of
the three companies in the index were cut to “neutral.” Packaged foods, computer
storage and peripherals, and department and apparel retail shares were also
among the weaker issues. The Nasdaq future
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1214.50. The S&P 500 contract
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and the Dow
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Fixed Income
Treasuries ended the day higher after Federal
Reserve Governor Donald Kohn said that inflation is falling slightly faster than
the Fed had expected. The 10 year futures contract
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was up 1-10 at 121-13; and the five year note was up -155 at 116-200
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Metals
July gold
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close at 352.20 as a result of an overextended long market and a continued
rebound in the US dollar. Silver
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was down .20 at 76.50
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to close at .6515.
Energy
July crude
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31.68 And, natural gas was down .004 to
close at 6.326
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Currencies
The dollar was generally higher today, and the USD index
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up by .23 and
finished at 94.03.