Base metals (platinum, palladium, copper, silver) are all edging higher. Gold is taking a breather after four straight up sessions. The rally is mirrored by positive trends in mainland Chinese equities (CSI 300) as traders welcome lower tariffs on Chinese imports.

We're seeing the base metals, everything across the board, platinum, palladium, copper, silver, all edging higher here. Gold taken a bit of a breather, but it's been up for about four straight sessions in a row.

You got base metals, Rowan, here as China's markets reopened after that lunar New Year break. The gains in the metals are really mirrored by some positive trend in the mainland equities. We're seeing the CSI 300 index also rising as well. And we're seeing that a lot of those traders are welcoming those lower tariffs here. More Chinese imports for copper and some of these different base metals were occur as they get some clarification on these lower tariffs.

Gold volatility is edging higher (to 38), and if it breaks above 40, expect much wider ranges and big moves. Silver volatility remains extremely elevated at 86.45.

Now traders are going to focus on President Donald Trump state of the Union address. All the lot of people, a lot of the traders in the evening are going to be trading around some of the headlines. So start focusing things on oil on tariffs and you might get a little bit of volatility and some of those markets here.

As we have some uncertainty over as tier of policy and the tensions with Iran, we are going to get some data coming out today with the ADP and consumer confidence.

Gold ETF flows are positive, adding 220,000 troy ounces in the biggest one-day increase since January 23rd. Total gold held by ETFs is up 1.4% YTD. Silver ETF flows declined 0.3% and are down 5.6% YTD.

I get a lot of questions about the ETF flows because when the ETFs, they are buying gold, they are buying palladium, they're selling silver and selling platinum.

So if you look at gold first, you get those ETF flows edging about 210 of a percent, that's on the previous trading session, add about 220,000 trance is a gold, it's the biggest one day increase in January, 23rd. You'll look at total gold held by ETFs up 1.4% this year to 100.4 million ounces. Gold is up 21% this year and rose by 2.3% in the previous trading session. Over the last four trading sessions, it's up about 7%.

Stock futures are edging higher after yesterday's sell-off. 74% of S&P 500 companies have beaten earnings estimates. Russell 2000 small caps are showing double the earnings growth of the S&P 500.

Now where the questions coming up play here is the silver ETF flows because they did decline about 3-10% year to date or down about 5.6%.

If you're a financial advisor or a wealth advisor or you have a fiduciary responsibility where you have specific guardrails in place for different positions sizing, you get involved with a stock something like Navidia.

The dollar index is pushing higher, climbing on a trade-weighted basis as the yen dropped about 1%. The Japanese prime minister voiced apprehension about the BOJ continuing to hike rates.

early on in that position for your clients grows to a certain level. You have the obligation to trim some of that down to take down some of that volatility and redeploy that capital elsewhere.

So when you get silver from a couple things, you'll get it exploding higher. And the position size gets too big because of the volatility where it turns into a 10, 20, 30% position within an account. You want to pair some of that back and then redeploy that capital to diversification and other metals or get defensive or bring some cash in, start looking at other alternatives. Like the crude oil market, which has had an incredible year. So far, being one of the worst performers last year, that's where we see a lot of trimming take place here. And some of the crypto currencies, where traders saw that break trend and then they exited that market altogether and it looked to redeploy and other markets outside, another FX currencies. So it's really about position management is what takes place here because of the fact that you don't want to see that be such a sizable position because you could recall.

WTI crude oil futures remain elevated at $66. 10-year Treasury yields are down at 4.03%. The Fed is fully pricing in a rate cut only by September 16th.

taking place from those $210 sell-offs that we had in the silver market, and that $130 sell-off where the position just became too big at that particular moment. And you really wanted to watch that volatility, which was picking up quite a bit.

And the average shurange at that point was like $12, $13. So just too volatile, too big of a position. Imagine being on a roller coaster would know harness what's so lever or no seat belt. So you look at those silver ETF flows. They cut 2.3 million ounces here, 7 straight day at declines, gold silver ratio, sitting at 59 to 1. It's not that they're completely out of the market. They're just trimming it as it goes up.

S&P gamma exposure is negative. Key support is at 6850, then 6800. Resistance at 6930, 6980, and 7000.

So you look at stock futures. They are edging higher here after yesterday's big sell-off.

Now, the earnings from out of the 433 S&P 500 companies that reported so far, 74% managed to beat those analyst expectations, 21% of miss. If you look at the Russell 2000 and some of the small caps, it's about double the performance as far as those earnings that are being reported in that earnings growth cycle, pushing on up twice that of the S&P 500.

You'll get the economic data while that consumer confidence that final reading on December wholesale inventories. And then you're going to get a barrage of Fed speakers. You got ghouls, be Collins, Bostic, Waller, Cook, and Barkin.

So imagine you're going to see a lot of headlines in things popping up that's going to be talking about that. Is it going to move the needle on any of these markets? We'd have to see which ones are voting members. And if that could do anything. And you'll look at the CME's Fed Watch tool, the March 18th meeting, no real change, 4.1% likelihood that the federal cut rate, you go to April, it's still 16%, June's like 50, 50. And now September, September 16th, that's when it's fully priced in.

You'll get the dollar index. It's pushing a bit higher here. And it's climbing on a trade-weighted basis here as the yen dropped about 1%.

So you'll get the Japanese yen on the futures contract down about three quarters of a per cent. That's the biggest sell-off across the board. And there you get the Swiss prank, pushing a bit higher, New Zealand, pushing a bit higher. The dollar index up about 16 basis points. And it's really the Japanese prime minister had came out and voiced some apprehension about the Bank of Japan continuing to hike rates.

So you saw. Japanese stocks and a lot of the MSCI, the Asia Pacific index, that edged higher here reversing its earlier decline. The chip makers like TSMC, Samsung's SK, Highness, those were the biggest boost to the benchmarks. So you also saw Taiwan and South Korea jump about 2%.

European stocks, they slipped a bit as Trump's new 10% global tear off came in the play. You'll look at the Euro currency just ever so slightly lower.

WTI crude oil futures remaining elevated, elevated at 66 bucks.

You get the 10 year treasury yields down at 4.0 or 3%. So that 10 year futures up over 1.13.

And then you'll look at the way that the dealers are positioned with the S&P Gamma exposure. It's negative. Your key level support that I'll be watching is going to be about that 6850 then below that's going to be 6800. You go to the upside there's a lot of different resistance points from 6930, 6980, 7,000. So just a lot of different ranges right there.