Gold

As we pointed out yesterday the Volatility Index (VIX) has been going crazy. It is up 34% this week, meaning there is much more implied volatility in markets of all kinds.

The yanking this way and that by fundamental forces now growing wilder and woollier by the day, left gold almost becalmed in a sea of madness.

Oil is tumbling into a seemingly bottomless bit, breaching $61 for WTI crude and looking every bit as if it will go lower. (Although we’re sure that the “magical” level of $60 will bring out bargain hunters and risk takers.)

The half- and quart-point losses on the Dow and S&P 500 look positively like a day at the beach compared to the rest of the world’s exchanges. And the modest rise on the NASDAQ seems like Thanksgiving, Christmas and Fourth of July rolled into one.

Oil continued to careen lower today, both WTI crude and Brent free falling around 4.25%. (Natural gas tumbled even more – 4.65%.) Oil-dependent nations that have been planning poorly are reeling, Venezuela and Russia among them.

Fundamentally speaking, today’s U.S. job numbers and income-increase numbers are an ominous sign for gold prices. The solid, 321K monthly hiring figures for November was not only significant in quantity but in quality.