Gold, palladium, platinum, silver: ALL UP ON THE WEEK. Copper up on the week. The commodities super-cycle running of the bulls is NOW IMMINENT. Central banks and their minions might want to step out of the way…
What a week in the metals!
If anybody is out there saying that gold and silver are going to significantly drop from here, it might be smart to turn from that person and run away as fast as possible, because the only thing going down is gonna be ego and the positions of everybody that fed the bear.
Gold and silver have shown the strength we have been looking for. We knew it wasn’t going to be an easy week even though we all know these metals are just way too undervalued right now. After the massive gold dump last Friday, we knew the cartel was trying their hardest to keep gold and silver below critical levels going into options expiry. They had plenty of help from the MSM, and the Fed may have just taken the cake for the most anti-gold hit piece ever. They even had the help of a gold and silver “Wednesday Night Flash Crash Lite”, and while it kept gold at bay for a couple hours, it didn’t even keep the price of silver down for more than 14 minutes. Look at that strength in the white metal:
Coming off the heels of that fight, gold & silver had a late afternoon surge on Thursday, and then this morning, going into the BLS Nonfarms Payrolls Report, seems like the BLS hesitated and couldn’t decide which one to click send with:
Here is the thing about market manipulation and price suppression. There is only so much downward price pressure they can apply before the manipulators have to let up, or they risk the gold and silver markets shattering and breaking into pieces.
In 2015, the cartel learned what happens when they push too hard. Silver was in short supply, and with little to no warning. Even though the paper price had been hit hard, premiums blew through the roof. So while the price of some piece of paper provided in sufficient quantity to to suppress price went down, many coins either stayed the same in price, or went up because of the scarcity. That’s real world economics 101. When there is a ton of people all wanting the same thing, price will rise.
The response from the US Mint was to immediately begin rationing Silver Eagles, and it took the better part of a year for supply to to catch up to demand. The cartel darn well knows that if they push too hard right now, they might just lose complete control and not be able to recover.
And so here on Friday afternoon, gold and silver are looking strong. Gold is above $1330, and Silver is above $17.70. Those are critical price levels. Gold still is not out of the clear until getting north of $1350, and silver, well, they have been unusually cruel to silver all year, but we are above the June 6th resistance price of $17.70. Things are shaping up very bullish indeed.
When everybody had all eyes on Texas, a BLS dropping the ball on the jobs report, and Mnuchin mumbling something halfway indicative of words, PALLADIUM JUST STOLE THE SHOW FROM EVERYBODY!
We need to keep close tabs on palladium, because it is industrial and it is precious. Here’s a wide view of the last 15 years:
If palladium is not showing a long term super-cycle precious metals bull market, I might as well just sell my stack now, but if slow is smooth and smooth is fast, and if slow and steady wins the race, palladium’s price action is the smoothest looking of them all.
Oil and the dollar over the course of the week sum up the jobs report debacle and disappointment – UGLY:
The dollar does not look good on the weekly. That slight gain on the week does not look like a reversal as many (including Goldman) are now saying, but it looks more like a brief pause on the way back down:
After the threat of post-apocalyptic TEOTWAWKI caused by thermo-nuclear annihilation stemming from WWIII with North Korea, we dared say the stock market is about to “rip your face off“. Well, get ready for it, the paint-by-numbers chart is signaling “game-on” with the Fed, and anybody short these markets may be about to pay dearly:
Anybody looking for confirmation of a commodities bull market, we suggest taking a look at copper. The price action on the daily is not looking exhausted as many are saying, and the city with the 4th largest economic footprint in the United States is about to need a whole bunch of the base metal. Copper is just getting started: