Market Nuggets
Commerzbank: ETF Holdings Of Silver Up Sharply Since Start Of June
Silver exchange-traded funds have been posting heavy inflows in recent weeks, although this has not helped the price much, said Commerzbank. The ETFs trade like a stock but track the price of the commodity, with metal put into storage to back the shares. “Holdings were topped up by 267 tonnes last week, by a good 540 tonnes since the beginning of the month, and even by over 1,000 tonnes since the start of June, when the inflows began,” Commerzbank said.
By Allen Sykora of Kitco News; asykora@kitco.com
BBH: ‘We Remain Bullish On The Dollar’
Monday Jul'y 15, 2019 08:00
Brown Brothers Harriman remains bullish on the U.S. dollar even though analysts expect a pullback in the near term. The greenback remains under pressure after dovish congressional testimony last week from Federal Reserve Chair Jerome Powell, analysts said. “While he seems to have cemented a 25 bp [25-basis-point] cut on July 31, we continue to believe that markets are overestimating Fed dovishness for the rest of the year,” BBH said. As of an early morning research note, BBH said, the dollar index was sitting on the 200-day moving average near 96.78. “The 50% retracement objective of the June-July bounce is just below that at 96.715,” BBH said. “However, a break of the 62% objective near 96.51 is needed to signal a deeper move towards the June 25 low near 95.843. We remain bullish on the dollar but acknowledge that further near-term losses are likely until the market recalibrates Fed easing expectations.” As of 7:43 a.m. EDT, the spot dollar index was up 0.010 point to 96.820.
