It was a good day for profit takers, since they are facing a pair of unresolved matters and the climb up in the gold price has been long and strong.
The FOMC begins its meeting tomorrow in Washington, and it is a foregone conclusion that tapering will continue. Nevertheless, there is always a certain percentage of unbelievers that will hope for the absolute best or fear the absolute worst, depending on their nature.
The Fed must taper now, even if it slows the pace (which we do't believe it will). Investors do not like uncertainty. They'd rather know actual bad news is happening than... Read more
Kitco News kicks off the week with Gary Wagner to find out what he makes of gold's recent price movements. He says that although there is evidence that we might be entering a 2-year long gold 'supercycle,' he still needs proof from market technicals before he is 100% sure. While Wagner is optimistic about the yellow metal, he does not have the same conviction on silver. Tune in now to his analysis as he gives a macro view for the yellow metal. Kitco News, March 17, 2014.
When the U.S. was locked into a severe winter from December through February (heck, the East Coast is actually getting hammered again today) economic activity was squelched. All the things you can imagine working toward that suppression of activity indeed went on.
Poor consumer consumption, bad transportation problems, the flow of raw materials and a spike in demand for heating oil but a decline in gasoline use typified the weather-related slump. The constant tattoo of weather reports didn't help, either. It actually made people in sunny climes cut their spending!
Perhaps anticipating... Read more