Pressure on the markets as the reports shows the inflation numbers are stronger and more sticky than thought. The idea of one more rate hike and its done. Well if you look at the CME Fed Watch page, you see the odds rising of more rate hikes..
In my last public article on gold, I outlined my expectations for a rally to the $2,428 level. And, as I write this article now, gold is finally giving us the pullback I wanted to see to set up the rally towards that target.
In the gold market, we are in the ballpark, where we are seeing big support with $1,825 area. This is the zone where I believe the bottom to shape up in..
Fed leader Jay has been adamant that these anticipated rate cuts won’t play out as expected. If his actions match his words, the stock market rally will die.
Labor and the CPI data giving the FED problems. There is no easy way to get back to 2% inflation and I am starting to believe that this is a fictional number
So, what is the most important takeaway from these reports? Is it that we should be looking a lot closer at the substance of these reports? Absolutely not.
