Gold Nears 18-Year High
The Department of Labor released the
September jobs report today and the numbers were much better than analysts
forecast. Non-Farm Payrolls were -35,000 versus the consensus
estimate of -150,000. The Unemployment Rate rose to 5.1% from 4.9% in August.
The news immediately sent U.S. Treasuries and the U.S. Dollar sharply lower but
after the initial spike downwards, both rallied to close in positive territory.
Energy prices were mixed, Crude Oil hit a low of $61.10 before
rallying to close near the high of the day at $61.84. Heating Oil also closed
higher, while Unleaded Gas continued it’s slide. Natural Gas was the biggest
decliner in percentage terms.
The metals sector continued to shine with Gold nearing an
18-year high. Silver and Copper closed sharply higher and Palladium closed up
over 3%.
The grains were mixed, among the major contracts Wheat and
Corn both closed lower, Soybeans closed unchanged. The softs were also mixed
with Coffee, Sugar and Lumber closing higher. Cocoa, Cotton and Frozen Orange
Juice closed lower.
The entire livestock group closed higher, led by Pork Bellies
and Lean Hogs.
Economic News
Employment Report:
Non-Farm Payrolls, M/M Change – Actual -35,000 Consensus -150,000
Unemployment Rate, Level – Actual 5.1% Consensus 5%
Average Hourly Earnings, M/M Change – Actual 0.2% Consensus 0.2%
Average Workweek, Level – Actual 33.7 Hours Consensus 33.6 Hours
Wholesale Trade:
Inventories, M/M Change – Actual 0.5%
Consumer Credit:
M/M Change – Actual $4.9 Bln Consensus $5.0 Bln
Ashton Dorkins