Fundamental News: October 8, 2013
Statistics Canada revealed on Monday that Building Permits fell significantly in September as commercial projects dwindled. The value of permits fell 21.2 percent in September after registering a record 21.4 percent advance in August.
Today, New Zealand Institute of Economic Research announced Business Confidence index improved to 38 from 32 in the second quarter.
UK British Retail Consortium’s Retail Sales Monitor climbed 0.7 percent in September, following a 1.8 percent gain in August.
In Japan, Current Account was relatively unchanged at JPY0.35 trillion.
National Australia Bank’s Business Confidence report showed the index improved further in September. Confidence grew to 12 from August’s 4.
In Germany, Destatis reported that Trade Balance grew slightly to EUR15.6 billion (seasonally adjusted) in August, following a EUR15 billion reading in July. Meanwhile, Factory Orders surprisingly fell 0.3 percent in August - its second monthly decline.
Later, focus will be on the release of Canada’s Trade Balance.
Gold bulls remain supportive of declines toward $1,300 for the third straight day on Monday. Minor progress has been seen but the $1,320s remain magnetic until today. Checking the lower timeframes, we can say that bulls could be building a base around $1,300 in anticipation for higher prices. If this level breaks, though, the $1,270s is an obvious target.
Yesterday’s quick smackdown in Oil has been easily deflected by bulls who were quick to snap up low prices when oil dropped below $102. If price stabilizes in the $103s and $104 eventually breaks, we could see a trip toward $107-$108 soon.