PM Daily Market Commentary – 6/9/2014
Gold closed down -0.30 to 1252.10 on light volume, while silver closed up +0.05 to 19.05 on moderate volume. Metals traded higher until the NY session, whereupon they started selling off slowly into the close. Really not much happened today.
The buck rebounded sharply, climbing +0.23 to 80.67, regaining most of the ground lost last Thursday after the ECB meeting results were released. The rebound calls into question my previous theory that the buck has topped – a continued move higher in the dollar would likely make it more difficult for gold to continue moving higher. The dollar is at a decision point right now.
GDX closed down -0.40% on light voume, while GDXJ was off -0.32% on very light volume. Miners looked a lot like the metals – "not much happened today."
SPX initially rallied, hitting yet another all time high of 1955, but then it sold off a bit into the close to end the day up a point. The equity market is quite overbought, and today the VIX jumped back up a bit – to 11.15, which is still quite low. 12 of 13 days up – amazing.
Something has the Homebuilder (XHB) stocks on fire – last four days they've taken off like they're being chased, on accelerating volume. Perhaps we have a housing market rebound!