Written Commentary
GOLD / SILVER
While a deflationary environment looks to be developing, the gold and silver markets this morning are showing positive traction in a deviation with last week’s action. In fact, the metals markets are one of the few sectors tracking higher on the day in the face of accelerating global Delta variant infections.
PLATINUM
After a notable low to high rally last week of $185, the palladium market has seemingly forged a blowoff top with a moderate reversal close last Friday. As opposed to the palladium market, the platinum market last week forged a feeble rally and failed with the charts shifting patently bearish into the new trading week.
COPPER
Apparently, severe flooding from several weeks ago is combining with the damage from a weekend typhoon in China to foster a surge in Chinese copper demand expectations. The markets see the extensive flooding in China as a strong demand boost as the country rushes to rebuild widespread carnage. It is also possible that copper is benefiting from anticipation of another dovish Federal Reserve meeting outcome at midweek.
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