Why Gold Was Lower Today
Negative remarks from Eastman
Kodak weighed on the broader equity markets while Treasuries also finished lower
for the day. Â
Equity
The Dow and the S&P closed marginally lower, as
select investment banks and brokerage firms lowered expectations of a pick-up in
their businesses. Industrial conglomerate, biotech and integrated oil and gas
sectors also weighed on the market. On the up-side, semis, communication
equipment, tobacco and computer hardware stocks were among the winning sectors. The Nasdaq future
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up 10.00 to close at 1249.50. The S&P 500 contract
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1009.00,
and the Dow
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Fixed Income
U.S. Treasuries were were again lower on the back of downwardly
revised expectations of a 50 basis-point cut to a 25 basis-point cut by the
Federal Reserve at its next meeting. As a result,
the 10 year futures contract
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was down 1-07 at 119-12; and the five year note was down -110 at 115-190
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Metals
July gold
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lower by .4 at 4.57. Copper had a nice pop higher by .35 at
77.75
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.6570.
Energy
July crude
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stronger than expected increase in US inventories, falling .88 to close at 30.19,
and natural gas, was lower by .052 at 5.529
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Currencies
The dollar was again higher due to narrowing
interest rate differentials, caused by falling continued selling in the Treasury
markets. The USD index
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finished at 93.61.