Archive | April, 2009

Gold Futures

Gold Bulls Fade Amid Better Risk Appetite

Gold futures were under strong selling pressure on Thursday morning, as it appears the risk appetite among traders has increased amid this week’s solid rally in the U.S. stock market, which has seen the indexes hit multi-month highs. Gold had benefited in recent weeks and months from perceived safe-haven buying of the precious yellow metal […]

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April 28 Bond

All About the Fed

Record Treasury refunding and a less than stellar 7-year note auction were bearish for the long bond and notes. However, the market was unwilling to react to the news until it heard what the Fed had to say. Immediately following the Fed announcement, which was relatively neutral for Treasuries, rates across the curve began to […]

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April 28 Bond

No Signs of Life

Seasonal tendencies and supply concerns have weighed heavily on Treasury trade in recent weeks; today’s failed attempt at a rally seems to be glaring evidence that this continues to be the case. Better than expected news from the Conference Board in regards to consumer confidence and $35 billion in 5-year notes being auctions at higher […]

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Supply & Demand in Commodities

It is viewed by many that a modest increase in commodity prices is a sign that demand is coming back to the market. We need to point out demand is only one side of the equation, the other being supply. We do agree that once prices stabilize we could see further upside, as the global […]

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Cotton Futures

Cotton Bulls Continue to Work on Price Uptrend

CE July cotton futures are presently in a six-week-old uptrend on the daily bar chart, from the March low of 42.22 cents a pound. Prices this week hit a fresh six-week high of 51.89 cents. The cotton bulls this week gained fresh upside near-term technical momentum when prices on Tuesday posted a big and bullish […]

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April 20 T-bond

Faltering Stocks Revives Safety Play

Suddenly the safe-haven sentiment absent in Friday’s session was in control of Monday’s trade. Treasury bonds and notes recovered most of Friday’s dramatic losses as equities fell out of favor. The lack of economic news exaggerated the negative correlation between the asset classes, and we suspect that this could continue to be the case as […]

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May crude oil

Crude Oil Prices Chop, But Bearish Triangle Still in Place

May crude oil futures on the New York Mercantile Exchange are continuing to chop in the middle a trading range bound by the key near-term technical support and resistance levels seen on the chart. However, note on the chart that a bearish descending triangle pattern is still in place. The direction in which crude oil […]

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April 13 T-Bond

Bonds and Notes Rally as Stocks Hold Friday’s Gains

The Fed spent the day buying agency debt and Treasuries while futures traders bought bonds and notes. Along with $5 billion in agency debt, the Fed purchases over $7 billion in longer dated Treasury securities. Some are also attributing the day’s strength to trepidation over the upcoming banking earnings. A poor showing could mean that […]

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Investors Must Exercise Patience

The word is China’s economic recovery will begin later this year and pick up into 2010. This may be true but what about conditions in the US, Europe, India and emerging markets? We are starting to see some light domestically but have things really gotten considerably better? The difficulty is I still think there is […]

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