FS: DJ PRECIOUS METALS: NY Gold Seen Up $6, Silver Down 24 Cents
December gold futures are expected to open floor trading in New York around
$6 an ounce higher Wednesday, based on electronic activity ahead of the pit
session at the Comex division of the New York Mercantile Exchange. December
silver is expected to be down 24 cents an ounce.
Gold ticked higher overnight as global equities weakened, London-based
traders said. Silver, which has more industrial applications, slipped.
At 7:52 a.m., EDT, spot gold was trading up $6.85 to $843.65.
In other markets that have the potential to impact metals in the short term,
the December S&P 500 futures are down 15.20 points to 987.90 in overnight
screen trading. The euro is up to $1.3644 from $1.3619 late Tuesday afternoon.
November crude oil is down $2.93 to $75.70 a barrel in overnight activity.
The U.S. economic calendar picks up Wednesday after a light week so far.
Reports at 8:30 a.m., EDT (1230 GMT), include:
- the September Producer Price Index, forecast to fall 0.4% but with the core
rate excluding food and energy projected up 0.2%;
- September retail sales, expected to fall 0.7% with sales excluding autos
down 0.3%; and
- the New York Federal Reserve's Empire State October manufacturing index,
forecast to fall to a minus 9.5 reading from minus 7.41 in September.
August business inventories, due out at 10 a.m., EDT (1400 GMT), are forecast
to rise 0.6%. Other economic events include a 12 p.m., EDT (1600 GMT) speaking
appearance by Federal Reserve Chairman Ben Bernanke, and the release of the
Fed's Beige Book report at 2 p.m., EDT (1800 GMT).
In New York Tuesday, gold futures ended at slightly weaker levels after a
choppy, narrow-range session. They fell as equities initially rallied, but then
upticked as stocks fell. December gold settled down $3 at $839.50 an ounce,
while December silver rose with industrial metals, adding 27 cents to $11.06.
Comex gold warehouse stocks were down 35,526 ounces at 8,562,462 ounces
Tuesday, while silver stocks were down 10,264 ounces at 134,147,050 ounces.
-By Allen Sykora, Dow Jones Newswires; 541-318-8765;
allen.sykora@dowjones.com
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