Wednesday, December 14, 2011

Two Negative Pieces of Data Coming out Tonight

Tomorrow's Opening Bell should be interesting to see if the precious metals can gain some traction.  After a couple days of beat-down, it'd sure feel nice to get a Santa Claus relief rally.  The Cartel is reloading their pocketbooks for 2012 and hopefully they dish it out in year end bonuses.

Two pieces of data which may come into focus overnight leading into the morning session which may prevent a relief rally from occurring.....

1. China's flash December PMI figure which came in at 49 (reflecting contraction) and the final November reading of 47.7 (indicating a steeper contraction from October).

2.  The other piece of data which could hinder a precious metal rebound is a report out tonight indicating a White House Spokesman calling for a short-term spending bill rather than one that will fund it through the rest of the fiscal year.

In the end, both data points are bumps in the road and the story will remain the same.  It's easy to lose focus on buying the dips while they are occurring.  Stay the course and keep stacking!