Gold bulls are sniffing, looking, digging, listening with ear to the ground - everything short of consulting the tea leaves - to find some shred of news that will drive prices up.
Alas, today was not much different than yesterday.
Ukraine was quiet. Elections that should prove to bring in a government that will steer a middle course between Russia and the West are due on Sunday. Unless something monumentally bizarre occurs, the elections will probably calm things down considerably.
Russia is trying hard, meanwhile, to close an enormous natural gas deal with China, but price... Read more
Putin put his saber back in the scabbard. Or so he says. One way or another, as the elections in Ukraine approach, (May 25), the rhetoric has been turned to "keep warm." Cooler, business heads seem to be prevailing.
This week is also a quiet week for data in the U.S. following a flurry of releases last week that left us pretty much where the week began. Tapering will most likely continue. Interest rates will remain stable. Keep in mind that even when QE3 goes to $35 billion per month, that's an annualized purchase of $420 million.
Inflation showed a producer-prices blip, but as we... Read more
The U.S. economy seems to be standing alone on the sunny side of the street. Worries elsewhere are a drag on the whole world, and Europe, Japan and China can't expect the U.S. to carry the whole burden of interminably providing growth.
The frissons of electricity that zapped through world markets yesterday shows the limits of America's ability to sway markets single handedly, even though economic news for the world's largest economy was better than average, better than expected.
Today, two economic reports gave a slightly blurry picture but were nonetheless upbeat. Housing starts... Read more
To say today was a risk-off day is a lavish understatement. It was a classic risk-off day, in fact.
There seems to be no hard news driving the hearty downticks in all areas. Classic days are driven by a sense of the table, a feeling that many components are simply over-priced and there is danger ahead. (Although you would think that if there were danger signs gold and bonds would go higher.)
Sometimes money just rushes to the sidelines in a confluence of lack of faith, laziness, confusion and fear.
At 4PM in New York, gold is down 0.75% for the day,... Read more