Eurozone consumers expect prices to continue to slide over the next few months, raising concerns about a deflationary spiral in the European bloc, the Financial Times reported.
Oil prices slipped on Thursday as concerns about weak global fuel demand outweighed strong economic growth in China and better-than-expected U.S. banking results.
American markets at a standstill… can the Far East drive stocks forward? … Chris Mayer on buying “what China needs, but can’t make for itself” … Dan Denning’s pair trade for the next decade … Bill Bonner and Goldman Sach’s CEO on the current “bull market” … Plus, a CEO pay debate fills our inbox… your letters and our response, below…
Wall St slides on bank jitters, earnings outlook caution… US dollar rallies broadly as equities worldwide tumble… Government debt shines on banking worries flare up… Oil drops over 8 pct on economic outlook, dollar rise
Gold didn’t do much of anything in the Far East or Europe on Tuesday morning. There was a smallish rally at the Comex open that got stopped dead in its tracks at 8:30 Eastern. Gold had $10 carved off its price by the time the bottom was in…shortly before London closed for the day. It managed to regain that loss by the time Comex trading was over…but lost half of it by the time electronic trading on the Globex was through at 5:15 p.m. in New York.
The gold price declined slowly…in fits and starts…all through Far East trading…until shortly before lunchtime in London [7:00 a.m. in New York]. From there, a smallish rally began which really picked up steam shortly before the Comex opened at 8:00 a.m. The usual not-for-profit seller showed up at 8:30…which was the high tick for the day…and that, as they say, was that. From there, gold gave up[?] almost all its gains for the day and closed up $2.30 on the spot price from Thursday’s close. Here’s the Kitco chart that shows the New York activity only…from 8:00 a.m. until 5:15 p.m. Note the capping of the price at 8:30…and the point where the bullion banks pulled their bids at the…
HSBC said it was cutting 6,100 jobs… closing offices all over America.
Russia is reeling. GDP is down nearly 9% year-over-year. The ruble has lost a third of its value since September. Unemployment is rising so quickly, protests and riots are breaking out. And yet, Prime Minister Vladimir Putin assures his supporters that “no catastrophe” is in view in 2009.
Gold did the deed. The precious metal closed over the psychological barrier of US$1,000 last week as the Senate Banking Committee Chairman Chris Dodd sideswiped the dollar.
If the global economy were a hospital patient, you’d definitely find it in the Intensive Care Unit.