While gold’s recent pullback started violently, mid-upleg selloffs are perfectly normal. They are essential periodically to rebalance sentiment which keeps uplegs healthy, extending their gains. Spec gold-futures buying will return soon..
There are more red flags and crucial issues that are being overlooked by the Fed, such as the credit quality of the mortgage portfolios and borrowers’ profiles, shares of non-core assets, and off-balance sheet items.
The trend across the nation is to eliminate taxes on precious metals. The state of Louisiana and Ohio both experimented briefly with reimposing sales taxes on precious metals purchases. They both quickly reversed course..
The inflationary acts were committed in 2020 and 2021. The inflation was inflicted then and is now history. What is happening now is a plethora of knock-on effects from the inflation.
After the gold-raids cease, bulls could regain control. It may be advisable to accumulate PMs while the markets are calm. Domestic and global investors are reminded of the Cypress-monetary reset...
Contrary to calls for its demise, the dollar has been very strong. Whether that strength continues, remains to be seen. At this point in time, the dollar’s demise is on hold.
Remember what I said: Inflation is highly individualized. Everyone feels it to different degrees. But everyone in those groups gets the same COLA percentage. This year’s increase was 8.7%, starting in January.
