Loading ...Calm before the storm
My favorite and proven catalyst for precious metals rally… Here I go!
US equities really need to prove to market it needs more liquidity… once market believes this (is starting to…) we will see in rate cut probabilities in breakout (confirm with a gold consolidation breakout).
So, if the correction continues…
Rate cut probabilities for a quarter point ease should increase for March 18th meeting …
And look like April 29th meeting… and April meeting will have also continued to climb higher … looking like late May breakout ascent.
Gold will breakout almost simultaneously when rate cut probabilities breakout.. which will confirm the breakout in itself (self fulfilling prophecy)…
Silver will dip and lag for a few days… then join gold … still holding on tight (see chart as a reminder)!
Here are my expectations for gold silver ratio, based on previous behavior before it rolled over…
Hopefully the TSI will still be in bearish mode on monthly chart (and not make new highs above 92)…
Great Insight Sir Patrick
Thanks as always
All very good and valid points. Thanks.
By this metric there is NO catalyst in sight
The Fed says things are fantastic .
The markets are doing fine
bah
Last comment by Powell was very telling… it is not in their mandate to protect individual savers… their mandate is price stability and full employment… greater good does not include fixed income or savers.. but spenders and creditors. Self fulfilling prophecy is baked in… hard to see how fiat currency debasement doesn’t continue from here world wide.
Well they have Price Stability AND Full Employment NOW.
Why do they need to cut NOW ?
I’m not trying to be difficult..i am trying to understand where is the urgency here ?
Symmetric inflation target 2%. That means above 2% for all the time they were below 2%. Can you say low rates?
Must have Inflation or else . . . Japanification!!! Anyway the FED can accomplish it! Deflation is a Bankers worst nightmare. They need employment tight, wages moving up, and prices increasing at a greater rate, all to support corp earnings and broken banks. As Rambus and others on the board have been pointing out oil, copper, and other commodities are moving lower. Lots of bankers’ underwear being changed when looking at those commodity charts.
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