Good Morning

• As Israel/Hamas fight escalates the prices for both gold and oil rise.  Recent price behavior for oil has been a strong opening and a quick fade by 10am.  Unless the Gaza turmoil escalates I expect oil to resume its recent pattern, down.  Storage costs are rising as more producers look for tanks in which to store their unused petrol.
• Gold, on the other hand, may have legs.  Bullion has gained about 4% this year after beginning its swoon in March.  But, it is up.  As the dollar weakens and as tensions increase in Israel and India/Pakistan gold should go higher.  I own DGP, a double long ETN, GDX, a gold producers ETF and Freeport-McMoran convert preferred, FCXprM.
• The Case-Shiller index of home values announces tomorrow.  As home prices go so goes the market, in my opinion.  Watch for a further decline, as much as 2% for the month.
• The lack of confirmation from GMAC on the bond swap is disconcerting.  As I understand it they were under an obligation to report on Friday.  Here it is Monday and nada.  This could be troubling.