Gold

Gold and the other precious metals found support via regular trading momentum as well as from a much-needed boost due to a weaker dollar.

Gold is up more than $12.00 in mid-afternoon. Silver is up 57 cents per ounce or 3.20%. Platinum and palladium also rocketed upward, 3.25% and 3.50% respectively. 

The U.S. dollar drooped against the British pound and the euro today as the currency market took a breather, engaging in some profit-taking after just two days of a brutal selloff in sterling and the euro sparked by the Brexit “yea” vote.

 Nonetheless, the British pound is off 10% from the pre-vote level.

The hurricane winds created by the “Leave” vote in Great Britain regarding the European Union continue to buffet world markets.

Gold rose into the 1330s overnight but has since dropped back on profit taking and sentiment that the rally in the yellow metal can’t last.

How could the analysts, forecasters and odds makers get it so wrong?

Just prior to the UK referendum, traders acted as if the outcome was an easy read, with a guaranteed outcome: that the referendum for Britain to exit the EU (Brexit) would fail, and the UK would remain in the EU.

Back in the 1960s and 1970s, a commercial for women’s hair coloring asked the question: “Does she or doesn’t she?” Today we ask a similar question about Great Britain and the European Union. 

The stereotypical car ride story with kids always circles around the hyper peanuts in the back seat saying something like, “When are we going to get there?”

The financial world is feeling the pain of the kids in the backseat as it applies to the vote in Britain concerning a possible exit from the European Union. Thank goodness we’re almost there.

You can assign any reason (or blame, if you think that way) for gold’s falling star act today.

Yes, Janet Yellen did reinforce the conclusions communicated after the FOMC meeting last week. So identical to the FOMC statement were her opening remarks that preceded her Congressional testimony in the next few days that there is no purpose in repeating them.

It made no difference that a weakening U.S. dollar against the euro lent some serious upside movement to gold. In the end, traders were selling, selling, selling and that has dragged gold down.

Apparently no one likes good news any longer.

Housing starts in the U.S. totaled 1.16 million in May, above a consensus estimate of 1.15 million. Yet, down went the Dow, S&P and NASDAQ.

It’s hard to believe that the CMOE’s VIX volatility index rose only 1.20% today and fell dramatically yesterday by over 7.00%.

If anything characterizes todays movements in almost all markets, it is inarguably volatility.