How will bin Laden’s death affect commodities?
In terms of influences on non-precious metals, China continues to be the predominant influence there. The death of Osama bin Laden had very little impact on non-precious metals on Monday, and it shouldn’t have had any.
With precious metals, why did gold close down on Monday?
That might reflect a worry about the printing of dollars by the Fed. The other message in gold, on a day when the world became much less risky, is that perhaps his death is not a good thing in terms of global stability and security.
Why — because we’re at a vulnerable juncture economically?
Yes, and Al-Qaida may sense that. There’d always the chance of retaliatory attacks when we’re in a vulnerable economic situation. Gold may be saying something about that. But we really don’t know.
And as for silver?
It did sell off dramatically toward the close — it closed down 10 percent on Monday. There were some technical things going on with silver; I think people wanted it off their books. Also we had lower volume, so you don’t want to over-interpret.
Do you foresee new opportunity in the U.S.-Pakistan relationship?
Pakistan has many factions: business-minded, western-educated citizens; the army; and the extreme radicals. Reaction from business leaders is one of joy, excitement, appreciation. But the factions interact, so this is complicated.