Gold, Copper and Silver Shine

123jump.com Staff
30 Nov, -0001
New York City

In the morning trading housing stocks are under pressure. Commerce Department report suggests that while singel family housing starts in May were up 4.7% above April but building permits in May were 4.6% below the revised April rate of seasonally adjusted annual rate but still higher than 2 million units.

The U.S. Census Bureau and the Department of Housing and Urban Development jointly announced the following new residential construction statistics for May 2005.

Privately-owned housing units authorized by building permits in May were at a seasonally adjusted annual rate of 2,050,000. This is 4.6 percent below the revised April rate of 2,148,000 and is 3.7 percent below the May 2004 estimate of 2,129,000.

Single-family authorizations in May were at a rate of 1,619,000; this is 1.3 percent below the April figure of 1,640,000. Authorizations of units in buildings with five units or more were at a rate of 348,000 in May.

Privately-owned housing starts in May were at a seasonally adjusted annual rate of 2,009,000. This is 0.2 percent above the revised April estimate of 2,005,000 and is 1.8 percent above the May 2004 rate of 1,974,000.

Single-family housing starts in May 2005 were at a rate of 1,704,000; this is 4.7 percent above the April figure of 1,627,000. The May rate for units in buildings with five units or more was 266,000.

Privately-owned housing completions in May were at a seasonally adjusted annual rate of 2,071,000. This is 6.9 percent above the revised April estimate of 1,937,000 and is 8.5 percent above the May 2004 rate of 1,909,000.

Single-family housing completions in May 2005 were at a rate of 1,699,000; this is 4.9 percent above the April figure of 1,619,000. The May rate for units in buildings with five units or more was 318,000.

Goldman Sachs reported 2Q earnings of $1.71 vs. $2.30 a year ago on 13% lower revenue missing the estimates of $1.71. This was the first quarterly earnings decline in three years. Recently Morgan Stanley, Bear Stearns and Lehman Brothers reports have shown weaker underwriting revenues.

Crude oil is up 10 cents and trading at $55.67 per barrel.

Metals markets in the morning trading are showing sizable gains in copper, silver and gold metals. Gold better by $4.90 to $435.80, silver is up 9 cents to $7.42 and copper is up 2.7 cents to $1.5750.

Asian-Pacific stocks closed mostly higher boosted by gains in commodity shares together with crude oil and metals futures. Japanese averages ended almost flat reflecting losses from exporter issues. China’s Shanghai Composite index rose 1.2%, Taiwan’s Taiex was up 0.5% and South Korea’s Kospi ended up 0.1%. The greenback traded higher at 109.31 yen compared with 109.21 yen in late Wednesday trading.

European markets advanced in mid-day trading as resource stocks were in great demand on recent strength in energy and metals prices. Germany’s DAX 30 rose 0.6%. France’s CAC 40 jumped 0.5% and London’s FTSE 100 added 0.4%. The euro lost against the dollar 0.3% and quoted at $1.2079.