DAILY REPORT : Thursday 15th August 2013

MACRO: The greenback was generally lower overnight as the 10 year US Treasury stabilized somewhat, closing around the 2.71% level. Equities were mixed, with the
European shares trading higher, whilst the US closed the session in the red. Euro zone GDP expanded by 0.30% in the June quarter, which was the first positive growth reported since the September quarter all the way back in 2011. The annual contraction was 0.70%. Germany (+0.70% q/q growth) and France (+0.50% q/q growth) were the main drivers of the stronger regional growth outcome, meanwhile Italy (-0.20%) and Spain (-0.10%) continue to contract marginally. As a result of the strong figures, European shares traded at two month highs, and it finally looks like Europe is out of recession!! Of note in the UK, it was revealed that the bank of England voted 8-1 in favour of Forward Guidance with the market reading the minutes as less dovish than expectations. Across the Atlantic, the US market fell on Wednesday on the back of slightly softer than expected data. The Dow lost 113 points whilst the S&P500 fell 8.77 points. US wholesale prices didn't change at all in July. The PPI was also steady (mkt expectations +0.30%) after jumping a solid 0.80% in June. Core prices (which exclude volatile food and energy costs) rose 0.10% m/m, slightly disappointing the market which was expecting 0.20% following on from June's 0.20% rise. As mentioned, the US Dollar was softer overnight. The AUD reached a high of 0.9160 and has started the Asian trading day at 0.9120. There is market chatter that some large bids are beginning to accumulate sub 0.9100. The greenback has been firm all week and doesn't look like
giving back any of its ascendancy. The Fed's Bullard (voter and dovish) spoke once again overnight, and is due to speak again tonight. Last night he restated his cautious views, and although he suggests a later start to the Fed tapering, there is nothing new in his stance which will be looked upon by the market as USD positive.

PRECIOUS METALS: A positive session for the precious metals overnight. Gold surged towards 1340, silver flirted with 22.00 whilst the platinum and palladium made solid gains. There were also a number of headlines doing the rounds in regards to holding of the largest gold ETF, SPDR which gave some upward momentum to the complex. ETF inflows are on the rise for the first time in months providing support to the metals, and silver in particular is benefitting from this renewed demand. It was reported that 7,200,000 ounces of the grey metal have been bought by ETF's in recent days. There were also reports circulating that John Paulson's new 13F quarterly filing has been released, and that he has significantly scaled back his long positions in the SPDR Gold Trust. It was reported that at the end of Q2, Paulson held just 10,234,852 shares, down from 21,837,552 shares in Q1. Despite all of the optimism surrounding the yellow metal this morning, it is still within its 1300/1350 range which must be respected until either side is breached.

ASIA TODAY: Following on from New York's healthy close, gold retained its biddish tone on the open of Globex. The metal opened around 1336 and immediately pushed a few dollars northwards with good volume exchanging hands. After an hour and a half of trade, the news mentioned above that Paulson and Co have halved their stake in SPDR to 10.2 million shares started doing the rounds, and as a result gold gapped through 1340, all the way up to 1346.60 GCZ3 triggering a number of system related stops on the way up. The metal traded in a volatile manner for the ensuing hours leading up the the Shanghai Gold Exchange with the market positioned on the long side. The buying didn't last long, and the metal retreated back down to 1339 in a matter of moments. The
remainder of the afternoon the market traded within 1338-1345 range with good buying interest seen on the futures exchange throughout the PM. Silver also had an impressive move higher, trading as high as 22.17 bid before settling for the day around 22.00. Asian equities followed Wall Street, and all major bourse's finished the day in the red. The Nikkei (-2.12%) and the Shanghai A Index (-0.87%) were the worst performers on the day.

EUROPE TODAY: Gold opened at 1339 its highest opening since beginning of June and stayed stable within the range 1335/1345 until the US economic data were released (CPI and initial jobless claims). Following the publication at 14h30 of the initial jobless claims which unexpectedly fell last week to 320,000 (vs estimate of 335,000) the gold spot price dropped hardly to hit the low of the day at 1319. However, the good news of the US CPI increases of 0.2% reversed the downtrend to a bullish position with the help of a weaker dollar and waves of stops buys through 1350. Over ten thousand lots swept from 1351 up to 1363 sending the yellow metal twenty dollars higher above 1360 to the high of the day at 1369. This event gave a clear indication that the short covering that started last week is far from over. The next resistance now sits at the 100 DMA in the 1385 area. Silver had strong day, up 2.2%, with a stable moment until the two big event of the day, the initial jobless claim where it decreased to 21.73 and then following the release of the US CPI rose to its highest point of the day at 23.17 pursuing the gold path. Silver is now up over 20 percent since beginning of August. Rumors of physical
shortage in gold market are not doing the shorts any favors either. Pgms had a solid run up as well following the precious complex. Palladium is now testing June 11th 2013 high and approaching the year high at 786. Some strong offers are expected to slow down the climb. Platinum as well is seeing strong resistance with the 200 dma at 1535 and a three month high at 1539. Clearing this level would open the way to 1600 immediately.



Although the information in this report has been obtained from and is based upon sources 1StopGold believes to be reliable, we do not guarantee its accuracy and it may be incomplete or condensed. All opinions and estimates constitute 1StopGold' judgment as of the date of this report and are subject to change without notice. This report is for informational purposes only and is not intended as an offer or solicitation for the purchase or sale of an investment. This report does not consider or take into account the investment objectives or financial situation of a particular party.

DAILY REPORT : Friday 9th August 2013

MACRO: Very little action overnight in the equity and currency markets, but the precious metals performed admirably, despite all of the negative press doing the rounds. The main data release was the US jobless claims which edged above the five year low last week. Initial jobless claims rose by 5,000 to a seasonally adjusted 333,000 (versus mkt expectations +335,000) in the week ended August 3. The monthly moving average of claims, which is meant to smooth the week to week volatility, edged lower by 6,250 to 335,500 - the lowest level since Nov 2007. The number of unemployment benefit claims rose 67,000 to 3,018,000 (mkt cons. 2,950,000), making back some ground that has been lost over the last couple of weeks. There continues to be Fed chatter. This time it was Federal Reserve member Richard Fisher (Bank of Dallas President) reaffirming his view that the Central Bank should begin tapering of its bond purchases as soon as next month, unless the economy worsens significantly. He was quoted in a German newspaper saying "We should begin reducing bond purchases in September, as long as we don't see a clear worsening of the economic data,". The US share market finally showed some life (Dow +0.18%, S&P500 +0.39%), rebounding from a three day losing streak. The gains were led by the technology sector with Microsoft rising by 3% whilst the telecommunication sector lagged finishing the session down 1.0%. US long term treasuries rose as the US Treasury auctioned $US16 billion in 30 year bonds whilst
the US ten year yield lost 1 bp to 2.59%. European shares rose as better than expected Chinese data helped support mining shares. Financial shares also traded with a solid bid throughout the session. The Stoxx 600 European banking index rose by 1.40%, the German Dax +0.70% and the FTSE finished the trading day up 0.30% Most currency's remained well bid against the greenback overnight as the stronger Chinese trade data released yesterday buoyed the markets. The AUD took out a number of topside stops and barriers trading as high as 0.9135 whilst the EUR also pushed higher, briefly trading above 1.3400, before settling around 1.3380 for the remainder of the session. Most of the recent data releases in the eurozone have surpassed expectations such as the German trade data overnight, meanwhile the stronger than expected Chinese figures should support investor’s growth expectations for the Eurozone area as a whole.

PRECIOUS METALS: A huge rally overnight across all of the precious has seemed to have reignited interest once again. The weakness in the US Dollar, and the overall short positioning of the market, were the main reasons for the metals to squeeze higher. Stop loss buying propelled the gold up to and through initial resistance at 1297 and again at 1300. Once 1300 was paid, another sweep of buying hit the futures exchange pushing the yellow metal up a further $6/7. At the end of the day the market had surged nearly $30 higher, with no news/data making the move even more impressive. Platinum performed even more admirably, jumping close to $50 (+4%), trading just shy of
1500.00, before finishing the day around 1490.00. Momentum buying on the break of the 100 day moving average (1456) sent the white metal rocketing higher without an offer in sight. Traders are now looking at the next key technical level, the 200 day moving average, which currently sits at 1535.00.

ASIA TODAY: A slew on economic data releases today such as Chinese CPI / PPI, Industrial Production and retail sales, RBA statement, French IP, UK trade balance, Italian CPI and US wholesale inventories.

· To start things off the Chinese CPI came in slightly weaker than expected (2.70% y/y vs  2.8% expected)
· Chinese Industrial Production was stronger than expected (9.70% y/y vs 8.90% expected)
· Chinese Retail Sales marginally softer. 13.20% vs 13.50% expected
· RBA lowered near term growth forecasts, but left the forecasts for the end of 2014 unchanged (2.50%-3.50) and published the end of 2015 estimates for the first time (2.75%-4.25%)
Despite the smorgasbord of data announcements, both the Precious and Forex markets were reasonably slow for the most part. Apart from the Aussie having another leg higher late in the afternoon (hi 0.9154) the G7 currency's traded in tight ranges (Eur 1.3376 - 1.3390) awaiting the Europeans for direction. The gold was a little more active,
but in comparison to last nights near $30 range, it was a slow old day. The market opened the day on Globex with a little buying interest around the 1313/14 level. Small demand continued for the ensuing couple of hours leading up to the Tocom open. The Japanese didn't seem to have much interest, once the SGE fixed, the market jumped a
few dollars testing the overnight highs. A few stops were triggered on the break of 1315, but the demand didn't lastlong and the market retreated back down towards 1312 which is where we idly sat for the PM session, with very little activity or interest seen. Early Europe seemed happy to sell the gold, pushing it a few dollars lower, squeezing out intraday longs, but a few bargain hunters were waiting in the wings preventing any further falls. One gets the feeling if the market is going to extend its gains it will happen in New York trading as it was their session when market was paid aggressively overnight.

EUROPE TODAY: Today gold dropped just after the opening ($1313) to hit $1307.50. It stayed quite stable for a while but dropped again to hit the minimum of the day at $1305. It directly recovered and rose to hit $1314 just after midday. The price fell again and stayed for a while within the $1308.00/$1312.00 range. After the fix market restarted to rise and tested the Asian high at $1317.50. The level couldn’t be undertaken and gold descended to $1310. The yellow metal ended the day quietly while trading between $1310 and $1316. In France we had the Industrial Production MoM that fell by -1.4%, expectations were at 0.3% while prior was at -0.04%. In US, the Wholesales Inventories MoM came at -0.2% vs survey at 0.4% and prior at -0.5%. Silver had a solid day and rose the whole day except at the opening time. It opened at $20.20, fell to $20.09 and then started the climb. It made a first step at $20.27, a second step at $20.40 where it tested this important resistance. It didn’t break it and came back to $20.30 for a while. After several testes of the resistance, silver finally broke it and hit $20.52 for the first time in the past 2 weeks. After Comex closed the grey metal even reached $20.58. Platinum had a busy day too. The white metal started the European session at the lows. The metal reached $1465 during lunch time and jumped to 1500ish. The metal ended the day trading sideways that level while printing a high at $1501 ahead of the Comex close. Palladium hit the high of $742 after London session started but fell by $8 to reach the low of $735 before lunch time. The metal recovered pretty quickly and consolidated above $740 once New York joined the session. After Comex close, palladium tested several times the day’s high.



Although the information in this report has been obtained from and is based upon sources 1StopGold believes to be reliable, we do not guarantee its accuracy and it may be incomplete or condensed. All opinions and estimates constitute 1StopGold' judgment as of the date of this report and are subject to change without notice. This report is for informational purposes only and is not intended as an offer or solicitation for the purchase or sale of an investment. This report does not consider or take into account the investment objectives or financial situation of a particular party.

DAILY REPORT: Thursday 1th August 2013

MACRO: As expected, it was all about the FOMC overnight. A number of market participants caught on the wrong side of the exaggerated USD moves witnessed
throughout July were hoping for hawkish rhetoric by the Fed to rescue their trades in the final hours of the month, but instead the Fed delivered a fairly dovish message. There was no reference to the tapering timeline outlined at the June press conference and as the Fed is usually keen to foreshadow policy changes at least one meeting in advance,

Read more: DAILY REPORT: Thursday 1th August 2013

DAILY REPORT : Wednesday 14th August 2013

MACRO: The key event overnight was the release of the US retail sales numbers which were slightly softer than the headline at 0.20% (vs 0.30% expected), but the upward
revisions to the previous month bolstered the bid tone to the US Dollar. In contrast to the headline figure, the core retail sales, which excludes building materials, cars and gasoline rose by an impressive 0.50% m/m (vs 0.40% exp) - the largest gain recorded this year. There was higher spending by consumers at restaurants and retail stores providing further evidence that confidence amongst the wider population in the US is improving. US treasury yields were up about 10 basis points and closed around the 2.72% level. US equity markets maintained its bullish momentum, finishing the day in positive territory. The Dow closed up 31 points whilst the S&P500 ended up 4.7 points. European shares also traded in positive territory as data out of the EU continues to surprise on the upside. Last night the German ZEW was released beating most economists expectations, reinforcing the idea that the economically challenged region
is finally crawling out of recession. The German ZEW sentiment index rose to +18.30 in August, a 13 month high. Meanwhile, the Eurozone Industrial Production rose by
0.70% in July, taking annual expansion back into positive territory at +0.30% which is the first positive reading since October 2011. GDP out of Europe is now the focus which
many are expecting will officially show that the Euro area as a whole has exited the technical recession experienced in Q2. As for currency's overnight, the AUD was under
pressure as stops were triggered sub 0.9090 taking it to an overnight low of 0.9074 versus the greenback (150 pips lower than where it was trading on Monday), before
recovering to settle the session either side of 91 cents. The EUR was also under pressure as the better than expected retail sales out of the US seemed to outweigh the positive data out of Germany, but the ongoing negative EUR catalyst seems to be the steady march higher in US yields and the overall optimistic market sentiment towards the greenback. There was further Fed chatter overnight. This time it was Federal Bank of Atlanta President Dennis Lockhart, who was on the wires stating that US economic performance remains too mixed for the Reserve Bank to lay out a detailed path for reducing, and sometime in the future halting altogether their asset purchase plan at the September meeting. He said the Fed could make its first reduction to the $85 billion / month program any time this year, but isn't committed to the month of September which is being widely reported in the press. He was quoted as saying "A decision to proceed - whether it is in September, October or December - ought to be thought of as a cautious
first step..... The first adjustments to asset purchases, when they occur, should be the beginning of a process with steps that will be determined as later information arrives about the direction of the economy". He also stated that "Recent data does not present a clear picture" and that "employment gains have been strong enough to lower the
unemployment rate while GDP growth has remained lackluster."

PRECIOUS METALS: Gold traded poorly overnight, failing to test the key resistance 1350. The strong USD (now sitting above the 200 day moving average) put pressure on the yellow, which sent weak longs looking for the door sending gold close to $20 lower on the day, and as a result gold now sits back in the middle of its 1300-1350 range.
There was also market chatter that there was liquidation of gold/silver ratio plays (currently trading at 61.60), adding further pressure on the yellow metal, whilst silver held reasonably firm, touching six week highs at 21.77. In precious news, there are a couple of stories receiving plenty of attention today. Firstly, India have increased the
tax on gold imports for the third time this year in an attempt to curtail demand and contain a record current account deficit that has weakened the rupee to all time lows. The taxes on gold and platinum imports were increased from 8% to 10%, whilst silver rose from 6% to 10%. Gold concentrates, ores and dore weren't immune to the hikes, also jumping a couple of percent, from 6% to 8%. The Finance Minister, Palaniappan Chidambaram, plans to reduce gold imports to 850 metric tons this year. In other news, contrastingly, the China Gold Association announced that Chinese demand rose by 54% for the first half of this year. It was reported China has purchased approximately 706 ton of gold in the first half of 2013, compared to 460 ton in H1 2012.

ASIA TODAY: Globex opened to little fanfare this morning, with gold trading sideways between 1320-1322 for the first couple of hours of trade. The Japanese open was a non event, but the Chinese fix certainly woke the market up. Large selling emerged pushing the market towards the overnight lows of 1319. Once this level was given, stops were triggered sending the metal a further $3 lower, trading as low as 1315.75/25 before finding support. After the initial onslaught, the offers seemed to dry up and traders were scrambling to cover shorts alongside physical buyers making the most of the dip. As a result the metal surged back through 1320, trading as high as 1325.50 before settling around 1322 for the remainder of the session. Equity markets across Asia were generally firmer today with the Nikkei (+1.30%) and Hang Seng (+1.21%) the best performers.

EUROPE TODAY: The Euro-Area economy grew by 0.3% in 2Q to emerge from a record-long recession. This news had a positive effect on European stocks who rose for a fifth day, with the benchmark Stoxx Europe 600 Index advancing to a 12 weeks high. This bullish mind was also seen in the precious metals market with gold increasing regularly during the day with an opening at 1321 and a close at 1333. However in the afternoon we could see a high jump in gold price to hit its day high at 1335 after the announcement out of India that the country will tighten its regulation on gold import. The statement announced that imported gold should be supplied against full payment and that 80% of imported gold have to be allowed for domestic use and 20% for India export units. Following the declaration 800k ounces have been trading in the last minute on the December gold future, taking out buy stops at 1328. In addition to this event the dollar index triggered the low of the day at 81.62, which accelerated the rise of the yellow metal spot price. We think that higher tax and a lower Rupee in India will make the local gold premiums more expensive as the festival season is going to start soon with limited imports. Silver for his part stayed bullish the entire day with an opening at 21.38 and a close at its highest value (21.75) since June 19th, 2013. The relative strength index is now approaching overbought territory as well as June 20th breaking level. A little resistance is expected here before any further climb is made possible. PGMS remained deadly quiet today with an average spot price of 738 for the palladium and 1495 for the platinum.



Although the information in this report has been obtained from and is based upon sources 1StopGold believes to be reliable, we do not guarantee its accuracy and it may be incomplete or condensed. All opinions and estimates constitute 1StopGold' judgment as of the date of this report and are subject to change without notice. This report is for informational purposes only and is not intended as an offer or solicitation for the purchase or sale of an investment. This report does not consider or take into account the investment objectives or financial situation of a particular party.

DAILY REPORT : Tuesday 6th August 2013

MACRO: A reasonably quiet session overnight across all assets. The Aussie regained some ground against the greenback ahead of the the much anticipated Reserve Bank
of Australia's interest rate decision at 2:30pm today. The antipodean currency reached a high of 0.8935 overnight and is trading near this level first thing this morning. The move
higher against the USD came in the face of comments from Fed Reserve member Fisher stating that "unless we see some disturbing data, we should start trimming bond buying in September". Fisher used a Greek myth to highlight his concerns over the central banks effort's to unwind its stimulus program stating that the easy monetary stance has left the banks with a "monetary Gordian knot" to untangle and that policy makers are at a "delicate moment" in considering how and when to rein in the stimulus. He noted that "we need to stop building upon the knot", that the Fed's current rate of MBS purchases actually outpaces the net monthly supply of MBS and that the Federal Reserve now has $3.5 USD trillion in assets on its balance sheet. He went on to say that financial markets have begun to unfortunately "expect the Fed to keep markets levitating indefinitely", whilst the ongoing programs has left the Fed with a "significant slice of these critical markets" and that it needs to find an appropriate way to "gingerly" unwind. Finally he noted that the Fed "must carefully remove the program's pole pin...so as not to prompt market havoc". At the same time as Fisher speaking, the ISM non manufacturing data was released coming in at 56.00, well above market expectations of 53.1 expanding at its fastest pace in 5 months. The report noted that 'Large projects are starting' and 'Volumes are slightly higher, mostly due to housing' providing further evidence that the US is on the road to economic recovery. Meanwhile, the US Treasury 10 year yield closed higher, finishing the session around 2.63% in response to the
stronger than expected data whilst US stocks closed marginally lower. The Dow finished down 46.23 points and the S&P500 closed 2.53 points in the red. European shares were mixed on the day as investors digested the vast amount of earnings reports that have been released recently. Shares in HSBC dropped 4.40% after it's earnings missed market expectations. The Dax closed 0.10% lower and the FTSE lost 0.40%. In the currency markets, GBP put in a good performance reaching a high of 1.5378 as UK services growth accelerated to its fastest pace in more than 6 years, whilst the July PMI for the Euro area was firmer than expected.

PRECIOUS METALS: Overnight, gold was offered on the back of the better than expected ISM figures. The yellow metal briefly traded under 1300, but a lack of any follow through selling prevented the market from any further capitulation. Despite the impressive rally seen on Friday, in which many pundits were calling a technical reversal, the price action has been concerning and apart from Fridays post NFP rally, the metal is trading heavily.
The improved economic conditions seen in Britain and the US are seeing their respective equity markets perform admirably whilst taking away some of the 'risk premium' priced into gold. Trading volumes yesterday were about 50% lower than what has been witnessed over the past few days, whilst vols continue to slide lower across the curve with 1 month closer to 19.5. On the ETF front, the worlds largest gold ETF, SPDR, continues to see outflows, currently holding 29,486,938 ozs (total gold ETF holdings 63,040,234). Gold demand in India has been even further dampened as the Rupee has fallen to an all time low, lessening their purchasing power. Despite the
weakness seen in gold, the PGM's remain resilient as the platinum/gold ration hit its highest level since mid 2011.

ASIA TODAY: The main event today was the RBA's interest rate announcement. The Reserve Bank unsurprisngly decided to cut official rates by 25 basis points indicating increased concerns over the prospects for the national economy. Rates have now fallen 2.25% since the current easing cycle commenced in November 2011 and are now
at all time lows of 2.50%. Recent economic data, had the market braced for the cut as the jobless rate rose over the June and building approvals were sharply lower over the course of the month. Despite the ongoing concerns over the Australian economy, the AUD/USD and Australian swap rates actually lifted after the announcement as the
wording of the RBA's statement appeared less dovish and removed their easing bias. It seems the Reserve Bank are no longer indicating that the inflation outlook may provide them with scope to cut interest rates should it be required, unlike all other monthly statements released so far this year. Gold came under significant pressure today as the New York lows came under serious threat in a thin market, and wave after wave of stop loss selling (albeit light volume) hit the market. Gold traded close to $20 lower on the day in a move that surprised many at the sheer ease of the drop. Some decent physical buying was seen in the mid 90's but relentless selling on Globex pushed the yellow metal to a low of 1388 before any kind of base was found. ETF liquidation continues to hurt the gold, as a further 48,000 ozs was redeemed from the SPDR fund, from Friday to
Monday. If the relentless selling continues throughout the illiquid US/Europe holiday period of August, things could get very ugly...

EUROPE TODAY: London opened while offering the metal. Gold traded then relatively quietly between $1290 and $1295 during the entire morning. The yellow metal printed a high of $1297.20 at lunch time. Gold then started a slow descent until some bid emerged as New York opened. The metal remained relatively weak and fell ahead
the fix to print the low of the day at $1279.20. It ended the day trading mostly below $1285. The day was poor in data, we had the UK Industrial production MoM that came at 1.1% versus expectations at 0.7 and previous at 0%, the UK Manufacturing production MoM that rose by 1.9% versus expectations at 1% previous at -0.8%. In US we
had the Trade Balance released. The deficit narrowed to the lowest level since October 2009. Indeed the gap contracted by 22.4% to $34.2 billion from a revised $44.1 billion in May as crude oil imports declined and US companies exported more products. Silver opened at $19.65 in the hollow of the wave and started to slowly rise fairly uniformly. Market went up to $19.80 and stayed around there for a while. Later in the day the grey metal started its fall and went to $19.70 before dropping abruptly twice by 10¢ to reach the low of $19.50. It recovered a little bit after gold fixed but it did not last long before it drifted slowly lower to finally reach the lows after the close. PGM’s were under pressure too and had a similar day to the other precious metals. The white metals remained
stable during the morning, pressure grown after lunch time. Platinum opened at $1440, hit the high at $1449 and fell by $25 as profit taking started. The metal traded around $1430 the evening. Compared to platinum, palladium’s slump was softer. The metal opened just below $730 and lost more or less $10 along the day.



Although the information in this report has been obtained from and is based upon sources 1StopGold believes to be reliable, we do not guarantee its accuracy and it may be incomplete or condensed. All opinions and estimates constitute 1StopGold' judgment as of the date of this report and are subject to change without notice. This report is for informational purposes only and is not intended as an offer or solicitation for the purchase or sale of an investment. This report does not consider or take into account the investment objectives or financial situation of a particular party.

DAILY REPORT: Wednesday 31th July 2013

MACRO: Markets were reasonably constrained ahead of the much anticipated FOMC decision released early tomorrow morning Sydney time. US consumer confidence for July fell to 80.30 from a revised 82.10 in June (despite this, it remains near five year highs) however on the flip side the S&P/Case Shiller rose by another 1.05% in May taking annual growth to 12.20% - which is its largest rise in 7 months. Interestingly, the move in the USD was relatively positive and there was a bit of market chatter around that the move was also bolstered by comments from Obama which highlighted that he's expanding efforts to attract foreign companies to the US. The under pressure AUD,

Read more: DAILY REPORT: Wednesday 31th July 2013

DAILY REPORT: Tuesday 13th August 2013

MACRO: A lacklustre session overnight with a steady and slow grind for the dollar, firming against most of the majors as volumes remained relatively light ahead of an array of data later in the week. The only data of note overnight in the US was the monthly budget statement which printed a deficit of $97.6bio in July vs estimates of $96bio. Price
action in the other asset classes was all fairly muted as well, UST 10 year yields closed around 2.62%, equities were all relatively flat (DOW -0.04%, S&P -0.12%, FTSE -0.14%,

Read more: DAILY REPORT: Tuesday 13th August 2013

DAILY REPORT : Monday 5th August 2013

MACRO: The USD is likely to consolidate this week. The July non-farm payrolls numbers released at the end of last week disappointed expectations, weighing on long-term US
bond yields and the USD across the board. Payrolls increased by 162,000 (+185,000 expected) in the month, and there was a minor downward revisions to the previous
month (June revised down -7k). The 0.2% dip in the US unemployment rate to 7.4% (7.5% expected), a low since December 2008, was again driven primarily by a fall in the
participation rate as opposed to any significant structural changes. While the July data disappointed, the momentum in the US labour market remains positive. The 6-month
moving average in payrolls is now 200,000, while the 12- month moving average is at its highest level since March 2012. Nevertheless, the slightly softer payrolls outcome is
likely to keep questions over when the Fed will commence a tapering of asset purchases alive, and this should act as a USD headwind. Most major banks economics teams have September pencilled in for a start date for tapering but the risk resides with a later start date. Irrespective, almost all of these economists still expect tapering to commence in 2013. The only US data point of note this week is the July ISM non-manufacturing index due for release today and is expected to improve modestly to 53.1 (52.2 prior). Elsewhere a busy week for Aussie data with June retail sales released today and expected to come in a little firmer which could pave the way for a 25 basis point cut at tomorrow's RBA meeting. In the UK, at a press conference accompanying the the bank of England quarterly inflation report on Thursday, Governor Mark Carney will likely announce an explicit 'forward guidance'.

PRECIOUS: Leading into Friday's payroll data the yellow metal remained fairly jumpy between $1285-1290 being weighed down by the USD which persistently crept higher. Once the weaker than expected figure was released all the metals shot aggressively higher. Leading up to the NFP's we had ADP employment (+200k), GDP (+1.7%),
Jobless claims (326k - a 5 year low) and the ISM manufacturing data (55.4) all extremely positive figures. I think in lieu of this the market had got itself a little short gold throughout the week, expecting a positive number on Friday. Instead there was carnage as rapid short covering propelled the metal $30+ higher to peak at $1318.50. After this run higher we dipped back under $1310 briefly with the gold supported into the close and rounded out the week at $1313. Silver too had a good run higher again running into stubborn resistance in the $20.20-20.50 zone and sharply reversing after hitting the peak. In the ETF space despite gold running higher on Friday investors took it as a good opportunity to liquidate further with the SPDR Gold trust realising 77k oz of outflows. COTR figures showed funds lowered bullish gold bets for the first time in 5 weeks due to signs of accelerating U.S. growth. Money managers cut their net-long positions by 6.5 % to 65,517 futures and options contracts. Holdings of short contracts rose 6.8 %, while elsewhere investors cut wagers on higher crude prices for the first time in a month and more than doubled bearish bets on copper. Technically the weekly close above $1300 is positive for the yellow metal and with less in the way of data this week, I would not be surprised to see us consolidate between $1300-1350 in the short term, especially considering that the northern hemisphere summer holidays roll on.

ASIA TODAY: NZD/USD was talk of the town this morning because of a New Zealand whey contamination scare, which could have trade impacts on the NZ dairy sector. Approximately 38 tones of whey product produced by Fonterra have tested positive for a bacterium that can cause botulism. It is reported that 8 customers in 7 countries, including NZ, have used the whey to make 870 tones of consumer product. NZ dairy exports total $11.5 billion (12 months to June 2013), in volume terms 2.76 million tones. So far, China and Russia have indicated a temporary ban on NZ dairy products. The extent of any long-term impacts will partly depend on Fonterra’s ability to reassure customers and consumers over the quality and safety of NZ food exports. The NZD was given to 0.7693 (-1.8%) however quickly came back to trade around the 0.7750-70 area.
The metals opened in a fairly subdued manner this morning despite being $30 from where Asia saw it on Friday. We think it was more caution that kept flows light throughout the morning and price action fairly stable through $1312-1315. Tocom had no real interest either way at the open whilst the Chinese were modest buyers during their morning - suggesting perhaps they may still be a little short from last week? The SGE arb remained buoyant above $20 over the spot price today, spurred along by the weaker USD. This also helped spot briefly edge above last Friday's high, which triggered some light stops and pushed the spot price to a $1320.20 peak. Plenty of sellers up there however were quick to pounce and we did not sit long there. Silver traded towards $20.00 but continued to run into offers there and the PGM's were fairly uneventful throughout the day both fairly flat. Data today saw Aussie retail sales come in weaker than expected at flat (+0.4% expected, +0.2% revised up prior), which kept
AUD under pressure below 0.8900. Elsewhere Chinese HSBC/Markit services PMI was unchanged at 51.3 and had little impact upon markets. Elsewhere the Nikkei currently sits at -1.4%, Shanghai Composite +0.65% and HangSeng +0.2%. Crude is a little firmer at $107.35 (+0.4%) and the base metals were slightly softer across the

EUROPE TODAY: This morning gold opened at the high of the day at $1318.00. The yellow metal started immediately a slow drift to $1305 following the weaker EUR and so despite a better Eurozone PMI services and a slightly better PMI Composite. The European Retail Sales MoM came lower than previous at 1% but better than the expected -0.7% with a decrease of -0.5%. The UK PMI services came at 60.2 versus prior at 56.9 and expectation at 57.4. New York opened around 1305 with some bids. The metal reached back 1310 before the ISM Non-manufacturing index rose to 56.0 from 52.2, that is the fastest pace in five months. On the positive US data gold fell and pressure increased as the metal approached $1300. Gold printed a low at $1297.60 before crossing upwards $1300. Silver also opened at the peak of the day ($20.00) and followed gold on the descent. The grey metal printed the low of $19.74 after New York opened and recovered to end the day while trading sideways $19.75 in a 10¢ range.
PGM’s had a completely different day than gold and silver as prices ended in a positive territory. Platinum opened around $1450 and rose to $1455 before profit taking pulled it to $1445. New York opened following the lower move and the white metal printed the low at $1440. Bids did not last long to appear and the white metal managed to close above the opening price but while being nervous. Palladium opened at $731 and stayed stable for a while. It rose to $735.50 went down to $728 before recovering and trading around $735.



Although the information in this report has been obtained from and is based upon sources 1StopGold believes to be reliable, we do not guarantee its accuracy and it may be incomplete or condensed. All opinions and estimates constitute 1StopGold' judgment as of the date of this report and are subject to change without notice. This report is for informational purposes only and is not intended as an offer or solicitation for the purchase or sale of an investment. This report does not consider or take into account the investment objectives or financial situation of a particular party.

DAILY REPORT : Tuesday 30th July 2013

MACRO: Financial markets were quiet overnight ahead of the Federal Reserve meeting later this week and no major economic news out. Pending home sales were higher than expected year on year (pending homes sales are up a healthy 10% from a year ago) but month on month figures were slightly lower than market expectations whilst the Dallas Fed manufacturing survey was marginally softer, slipping from 6.5 to 4.4 in July, but nevertheless remains near 12 month highs. European shares edged marginally higher on Monday, on news that Greece will receive the next tranche of aid from the IMF, which will take it through to the German election. The European market was also buoyed by a number of mergers and takeovers, however banking stocks offset these gains on expectations of 5 billion pound rights issues at Barclays (-3.45%) to meet tougher UK rules on capital requirements. The STOXX 600 European Banking Index fell 0.60%, whilst the Dax closed the day up 0.20% and the FTSE +0.10%. In the US, equity markets finished lower as investors were cautious about taking on any more risk ahead of the FOMC. The Dow finished the session 37 points in the red. Meanwhile the US 10 year treasury yield traded at its highest level in more than two weeks. The currencies were also muted ahead of the Fed, as the AUD continued to trade around the 0.9200 level which is where the market opened this morning. The US Dollar seems to have rebounded from its five week low against a basket of currencies, as the EUR hit early highs just shy of 1.3300, then easing towards 1.3240, before finishing the US session
at 1.3265. The data calendar remains reasonably light today with the Australian building approvals and Reserve Bank of Australia's chairman Stevens speaking then main events.

PRECIOUS METALS: A rather impressive short covering rally early London yesterday saw the yellow metal trade as as high 1338.50 in the first couple of hours of trade, but that was certainly the highlight of the day, as the market was happy to offer the metal down to 1330 which is where it remained right up until the NY close. Technically gold seems to be trading on the heavy side, as the 55 day moving average continues to pose significant resistance. It is currently sitting at 1342.70 GCZ3, and for the market to gain any upside momentum it needs to break through and close above this level. Above 1342.70 , key resistance is at $1370.59, which is the 62% May/June sell off, whilst support is at 1309.07 ahead of 1264.57. The silver is also trading on the heavy side, as
momentum as indicators all point southwards for the the grey metal. The major level on the downside to watch out for is the June low of $18.23. There is market chatter that there are huge stop loss sell orders beneath, and if it were to break the market could easily drop 5-10% in the blink of an eye. In other commodity news, the news that JP Morgan is exiting physical commodities trading is still sending shockwaves throughout the market. After spending more than 5 years and billions of dollars building their
business, JPM said they would be pursuing "strategic alternatives" for its trading assets. Due to tougher regulation and increasing capital levels, JPM joins other banking behemoths such as Deutsche and Barclays in a commodity market exodus. Here is the link to the full article on cnbc's website: http://www.cnbc.com/id/100900230

ASIA TODAY: Asian trade followed on from New York, where there was little interest. The market seemed to be trading in holiday mode and awaiting the key US announcements later in the week. For the first two hours of trade leading up to the Japanese open the market traded sideways between 1324.50-1326. Both Tocom and the Shanghai gold exchange opened reasonably bid which as a result saw gold creep a few dollars higher, but after the initial interest, gold went back to sleep and hardly moved a spread for the remainder of the session. The main interest throughout the day was well and truly on the Australian Dollar, as the antipodean currency fell more than 150 pips over the course of the day! Starting things off was the releases of the building approvals which fell 6.90% from last month and 13.0% from a year ago. It is typically a volatile number, but it doesn't help that the previous month had been revised lower as well, making it two consecutive monthly declines. As a result the AUD fell about half a big figure from 0.9200 to 0.9150. An hour or so later, RBA chairman, Glen Stevens was on the wires, making a number of dovish comments which can be seen below, sending the AUD into free fall:


The key for the AUD, is the low reached on the 12th July, at 0.8999 (last 0.9060). If the market breaches this, the AUD could be heading to 87 cents which will at least provide some relief to the countries under-siege miners.

EUROPE TODAY: London session opened around $1328 while offering the metal. Gold fell to $1324 in a first step and lost suddenly $6 on lack of interest to hit $1318.50. The precious metal recovered slowly until New York opened. The American session opened nervously and printed the high of the day at 1329.10 after an initial fall. Ahead of the fix, gold revisited the lows of the day and printed a min at 1317.50. The US July consumer
confidence that fell to 80.3 vs 82.1 help the yellow metal to reach back 1324. Since then gold traded mostly above that level. The yellow metal traded nervously today but within a little $10 range, we guess most of the participants are waiting for tomorrow’s FOMC Rate decision. Current movements are explained by a small volume of daily buys
and sales, therefore we can notice that there are no sustained movements. Silver also opened at $19.85 on the down side. It first went down slowly, before falling sharply to hit the day minimum at $19.55. The grey metal managed to come back to $19.65 and traded in a $0.05 range for more than 3 hours. After lunch time, silver rose to $19.75 in a first step, before reaching the day maximum at $19.88 once New York opened. The metal ended the session trading sideways 19.75 in a straightening range. Concerning PGM’s, after yesterday’s rise we were given a less exciting day today. Platinum opened at $1440 and quickly dropped to $1430.The white metal reached back the morning’s level before another pull sent market near the low. Later platinum rose again but never completely recovered. Palladium on the other hand started the day around $742 and stayed steady for a while. Pressure emerged once New York joined the session sending the metal price to $730. In the late afternoon palladium printed a low at $722
and ended the day just below $730.



Although the information in this report has been obtained from and is based upon sources 1StopGold believes to be reliable, we do not guarantee its accuracy and it may be incomplete or condensed. All opinions and estimates constitute 1StopGold' judgment as of the date of this report and are subject to change without notice. This report is for informational purposes only and is not intended as an offer or solicitation for the purchase or sale of an investment. This report does not consider or take into account the investment objectives or financial situation of a particular party.

DAILY REPORT : Monday 12th August 2013

MACRO: A reasonably quiet and orderly start to the week with little market moving news over the weekend. The USD appears to be making back some lost ground and sitting on technical support ahead of this week’s US economic releases which are likely to be further USD supportive. US retail sales are released tomorrow. Fed Presidents' Bullard and Lockhart are speaking (again) mid week whilst US Industrial production and CPI are released later in the week. The combination of Bullard (the Feds most dovish member) and the CPI only one day apart should present a good opportunity for the market to gauge where exactly the Fed sits for its next meeting in regards to the tapering of their asset purchases. Generally speaking, it looks as though US economic momentum has picked back up in recent weeks after a soft patch during June and July. The US ten year swap rate has consolidated following the move higher in May-July and if the economic data remains buoyant, the market is likely to stay at these elevated levels.
US stocks lost ground on Friday as investors booked profits after solid gains over the past few weeks in conjunction with the slightly softer than expected inventories report. The Dow Jones fell by 73 points (-0.50%), whilst the S&P500 lost 6.10 points (-0.40%). US wholesale inventories fell for a second straight month in June. Wholesale inventories declined by 0.20% (exp +0.50%) to a seasonally adjusted $499.68 billion. It was a weaker outcome that the government was expecting in its 1.70% growth estimate of Q2 GDP announced last week. European shares rose on Friday with the stronger than expected Chinese Industrial production data boosting resource stocks. The FTSEEurofirst 300 index finished the session up 0.60%, its highest close since May 28. The Dax closed up 0.20% whilst the UK FTSE gained 0.80% on the day. There are a slew of key economic releases this week in Europe:
· German ZEW
· UK CPI Inflation
· UK MPC minutes
· Euro zone/French/German GDP
· UK Retail Sales

PRECIOUS METALS: A solid close for the week in the precious metals has the market braced for further gains in the coming days. The market traded in a reasonably tight $11 range on Friday, but momentum was certainly in the metals favor. A number of market pundits seem to have positioned themselves on the short side, especially after a couple of investment banks released reports recommending their clients go short gold around the 1280/90 level last week. The yellow metal seemed to have found a base just north of 1270, and since this level was tested it has been a one way street. According to the most recent Commitment of Traders Report an impressive 2.68 million ounces
of gold was bought (short covering) in the latter half of last week. The metal is now back in its familiar 1300-1350 range and must convincingly breach 1350 for a technical break out on the topside. In other precious news, gold premiums in India continue gain international attention, as the Central Bank has imposed restrictions on imports. It is being reported on Bloomberg than premiums have jumped a further $10 to be now trading at $40 over spot. A number of market participants are warning that the premiums will most likely increase further (some are saying as high as $100!!) if the government don't ease the restrictions on imports.

ASIA TODAY: Gold and silver were off to the races first thing this morning on Globex. After the strong close on Friday and a number of stop loss orders sitting just above 1320, the market seemed hell bent on pushing higher despite a number of sizable offers sitting just above the NY high, between 1318/20. Once the offers were all paid,
the market gapped through 1320 all the way up to 1333 with stop after stop being triggered. Within the first 45 minutes or so, a whopping 6,000 lots had traded. Silver was also a star performer, opening around 20 cents above the New York close (opened 20.65), and trading as high as 21.27 in line with gold's strength before settling for the
remainder of the session just above 21.00. It seems that sentiment is improving across most markets, and in particular in China. Recent data has been better than expected, and as a result we have seen resource stocks push higher around the globe, helping base and precious metals. Adding to that is the potential supply side problems out
of South Africa and the reduced CFTC short positrons as mentioned above ...... has the precious complex finally turned the corner on what has been a tumultuous year?!?
The main data release in Asia today was the Japanese prelim GDP. The figure came in much weaker than expected at 2.60% annualized versus 3.60% expected. Despite the figure being softer than expectations it was still the third consecutive quarter of expansion and the pace stronger than Japan's average in recent years. Prime Minister Abe was on the wires later in the day stating that the economy is improving steadily due to the Government's economic policies since last year and that the Gov. will tackle the economy with an eye on growth policies towards autumn.... As a result the USD/JPY jumped close to 70 pips, trading as high as 96.65 before settling around 96.50.

EUROPE TODAY: Gold started the day quietly after the solid run up seen in Asia. The metal traded in between 1324 and 1334 with low volumes until lunch time where new bids started to appear. India’s Finance Minister said to be looking to contain gold imports at 850 tons this year and some small stops triggered above 1335 on Comex
open sending the metal to a high of 1342.50. The rise in the metal was well supported by strong silver and a gold/silver ratio unwinding; indeed the ratio lost 1.5 points today down to 62.57 which was last seen end of June this year. Silver managed to break back above the 50 dma since last February signaling a bullish trend and is now targeting the 100 dma at 22.30. In PGMs, Platinum traded sideways of 1500 with a quick spike at the morning highs on news that a worker was shot dead at Lonmin’s Marikana platinum mine in South Africa. the spike was rapidly offered however as the spot price reached resistance close to this year’s technical pivot point at 1510.



Although the information in this report has been obtained from and is based upon sources 1StopGold believes to be reliable, we do not guarantee its accuracy and it may be incomplete or condensed. All opinions and estimates constitute 1StopGold' judgment as of the date of this report and are subject to change without notice. This report is for informational purposes only and is not intended as an offer or solicitation for the purchase or sale of an investment. This report does not consider or take into account the investment objectives or financial situation of a particular party.

DAILY REPORT: Friday 2th August 2013

MACRO: Overnight, data out of the US was once again positive and the greenback remained firm throughout the session (particularly against the Yen). July ISM
manufacturing data jumped to 55.4 (vs 52.0 exp) from 50.90 the previous month. This is the highest reading in more than two years. The ISM report stated "Comments from the panel generally indicate stable demand and slowly improving business conditions,". New orders increased to 58.3 from 51.9 whilst the production index leapt from 53.4 to 65.0 - the highest reading in nearly a decade! The other top tier data, jobless claims

Read more: DAILY REPORT: Friday 2th August 2013

DAILY REPORT : Friday 26th July 2013

MACRO: The USD reversed its recent ascendancy and was offered throughout the New York session spurred on by unimpressive Durable Goods data and a dovish sounding
Fed "insider" Hilsenrath article released later in the day. Headline Durable Goods orders rose by 4.20% in June following an upwardly revised 5.2% gain in May, but core
capital goods shipments were particularly weak and the ex transportation reading was also disappointing with orders flat for the month. US initial jobless claims edged up to
343,000 last week, but remains within a rough 330k-360k range recorded over most of the year. US rates retreated over the course of the session which put even further
pressure on the greenback. Across the pond, European shares finished the session weaker as profit warnings by industrial heavyweights saw investors sell out of the broader market. BASF, the world’s largest chemicals group fell by 4.6% after a profit downgrade whilst Germany's second largest company, Siemens fell by an ugly 6.2% after warning the market that is was unlikely to reach its 2014 profit target. The Dax finished the session down 1% and the FTSE -0.50%. The US market finished the session marginally higher, boosted by tech stocks such as Facebook which surged nearly 29%! In the land of currencies, the AUD staged an impressive reversal from the previous sessions weakness, rallying more than one big figure, trading as high as 0.9281 whilst the EUR traded as high as 1.3296 The Hilsenrath article in the WSJ titled "Fed Likely to Consider Easy-Money Message" had a number of interesting and potentially market moving points. In summary:
· The Fed is likely to keep its $85 billion / month bond buying program in place at its   policy meeting next week.
· It's likely that Fed officials will debate changes to the way the central bank describes its plans for the program and for short term interest rates.
· The Fed is likely to assure the public that rates will be staying low for the foreseeable future and may address the concern of some officials that the Fed needs to show resolve preventing inflation from falling too low.
· It is more than likely the Fed will discuss whether changing its wording will clarify its intentions or create further market volatility and confusion amongst investors.

PRECIOUS: The gold and silver traded in extremely choppy conditions overnight. The metals plummeted lower in European trade for no particular reason as the yellow metal touched a low of 1310 before finding its feet, whilst silver dropped as low as 19.25. Once the lows had been reached the metals rallied just as aggressively catching the
market off guard, squeezing out the intraday shorts. After the AM fix, gold's fortune changed for the better and the Asia high of 1325 was coming under pressure once more. Once this level was breached the market didn't look back, pushing another $10 higher in what was a $25 recovery from the day’s low!! The Hilsenrath article only added to gold's push higher as the metal printed a high of 1337.50 before finishing the session at 1335.00. In other precious news, it was reported by the World Gold Council that Chinese demand for gold could hit a record 1,000 tones this year and overtake India as the world’s biggest consumer! Further bullish news for the metals was data on
the International Monetary Fund's website showing a number of countries, such as Greece, Kazakhstan and Russia have increased their gold holdings.

ASIA TODAY: Gold opened this morning to little fanfare and traded either side of 1335 for the first couple of hours leading up to the Tocom open. The premium on the active contract was slightly better bid than it has been recently (+$2 over spot), and as a result the Japanese banks were buyers to start the day. Gold crept a few dollars higher but interest and volume was on the low side, despite the wild trading conditions witnessed in London and New York. The Chinese were light buyers as well on the Shanghai Gold Exchange (still trading +$15 over spot) open and gold continued its push higher over the course of the AM session. The afternoon session proved less fruitful and traded sideways for the most part awaiting London for direction. Gold is headed for the longest weekly rally since March this year as recent US economic data strengthened the case for sustained monetary stimulus by the Fed. The yellow metal is up a healthy 3% this week after touching a one month high of 1348.50 on Wednesday. For the month of July gold is up 8.1%, which will be the best monthly performance since January 2012! Despite gold's recent performance, gold ETF's continued to post outflows yesterday, as holdings in the world’s largest gold backed ETF, SPDR, fell by a further 2.41 tones to currently stand at 927.35 tone. iShares Silver Trust performed more admirably, posting its largest one day jump since January, currently standing at 10,428.04 tones. The market looks set to continue to trade within 1300-1350 range with no major economic reports tonight.

EUROPE TODAY: Today markets opened at a good level. Gold strolled between $1335 and $1340 for a while and it then started to drift lower. It made a first step at $1330 around midday and a second step at $1325. It rose abruptly to $1332 during the fixing time despite the good numbers released by Michigan University. The consumer
sentiment hit a six year high July, at 85.1, prior was 83.9 and expected was 84. After a while the price started to be affected by the announcement and began a vertiginous drop. Stops triggered below $1323 and market felt to hit the day’s minimum at $1313.50. We guess that Gold has also been pulled down by weaker Silver. From that point gold went for a full recovery and is now trading between $1330 and $1335. on the technical side, It seems the yellow metal is now bulding a flag in bettween 1300 and 1340 testing both supports and resistance nervously awaiting for the next driver. Silver opened around $20.25 and started to fall progressively until US joined the session at $19.90. A little interest brought us back to $20.10, before it dropped severely by $0.30 to hit $19.70. The grey metal remained weak until Comex close but regained some of its losses on globex on thiner liquidity. PGM’s had approximately the same day. They followed Gold on the drop, except they didn’t have the rise around fixing time so they have been even weaker. Concerning Platinum, after the calm session in Asia it opened at $1450 and started to fall directly. It went down to $1430 and traded in a 5 dollars range for a while before following Gold on the drop and hitting the day minimum at $1412. Palladium was one of the few to print a high above the London open. The fall was softer but it had the same movements as Platinum. It opened at $739 it went down to $717 and it is now trading around $723. We notice that Palladium doesn’t get out of the $710/$750 range.



Although the information in this report has been obtained from and is based upon sources 1StopGold believes to be reliable, we do not guarantee its accuracy and it may be incomplete or condensed. All opinions and estimates constitute 1StopGold' judgment as of the date of this report and are subject to change without notice. This report is for informational purposes only and is not intended as an offer or solicitation for the purchase or sale of an investment. This report does not consider or take into account the investment objectives or financial situation of a particular party.