The gold market seems relatively quiet in comparison to some of what we have been treated to over the last couple of weeks. Some traders are probably welcoming the break to see if they locate their stomachs after last week's wild ride.
Sellers surfaced near the $1720 resistance level noted on the chart preventing gold from continuing to build on last Friday's rebound off the $1680 level. It fell below psychological support at $1700 but has moved back above that level here later in the session, although not by a lot.
The reaction to the late Friday ISDA news has been somewhat muted with some risk aversion trades being seen in today's session. I am noticing however that many of the commodity markets seem to be managing some late session bounces. It seems that at least for today, shorts appear unwilling to try pressing many of them any lower.
The same thing is being seen in the S&P 500 pit with early session weakness giving way to some short covering and light buying although the market still remains lower on the session.
Bonds were up nearly one full point but have given up the brunt of their gains, remaining slightly higher as we head into the after hours.
One gets the impression from the price action across a larger number of markets that neither the bull nor the bear camp is willing to push their case too hard today.
"When misguided public opinion honors what is despicable and despises what is honorable, punishes virtue and rewards vice, encourages what is harmful and discourages what is useful, applauds falsehood and smothers truth under indifference or insult, a nation turns its back on progress and can be restored only by the terrible lessons of catastrophe." … Frederic Bastiat
Evil talks about tolerance only when it’s weak. When it gains the upper hand, its vanity always requires the destruction of the good and the innocent, because the example of good and innocent lives is an ongoing witness against it. So it always has been. So it always will be. And America has no special immunity to becoming an enemy of its own founding beliefs about human freedom, human dignity, the limited power of the state, and the sovereignty of God. – Archbishop Chaput
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