Gold ended the U.S. day session moderately lower, near the session low
and dropped to another four-week low Wednesday. However, Todd ‘Bubba’
Horwitz, chief market strategist with the Adam Mesh Trading Group, says
he is still a buyer of the metal in the ‘face of all the bad news that
is in the market.’ Some hawkish ‘Fed speak’ and upbeat U.S. economic
data hit the precious metals markets today. Gold prices are now closing
in on major psychological support at the $1,100.00 level. December Comex
gold was last down $7.50 at $1,106.50 an ounce. December Comex silver
was last down $0.179 at $15.06 an ounce. “Gold and silver reached our
initial objectives and now have sold off. [They] should hold $1,100 and
$14.50,” Horwitz said in an interview with Kitco News on Wednesday.
Adding to gold’s troubles, is the boost the U.S. dollar index received
after U.S. Federal Reserve Chair Janet Yellen testified to a U.S. House
committee on bank regulations. She said a Fed rate hike in December is a
‘live possibility’ due to better U.S. economic data over the past few
months and her expectations of more of the same in the coming months.
Horwitz says he is sticking to his thoughts that the Fed will not raise
rates this year, ‘my opinions have not changed and neither have the
markets.’ Kitco News, November 4, 2015.
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