SD Midweek Update: March 2019 FOMC-day’s arrived, and the Fed performs a brand new circus act today. Here’s what it means for gold, silver, and more…
Not salted-n-buttered, of course.
Why would you want the salt to not stick?
Either way, the Fed’s behind the concession stands.
Which means it’ll be some burnt, nasty, & kernel-ridden crap.
But you buy it, take your seat, sit down, eat it and like it.
And you will like it because it ain’t no dang choice.
Granted, there are always the circus peanuts.
But they’re no excuse for the real thing.
I mean, they’re not real peanuts.
Yet from a packaging-facility.
That handles real nuts.
Kinda sounds like.
In a weird way.
So let’s begin.
Fed P’s Circus Side Show.
No disrespect to the freaks out there.
Also no disrespect to any actual circus clowns.
At 2:00 p.m. EST, the March-2019 Fed statement “hits the tape”.
At that time, the Fed concludes its 2-day meeting, and the decision on interest rates is released.
Of course, it could be released at any time, but hey, it’s The Greatest Easy Money Show On Earth, and the tour has a very tight schedule.
The entire world is expecting the Fed to pause on interest rate hikes, and that expectation is long-since priced-in to the markets.
What may cause an unexpected market reaction, however, is the brand-new data release in the Fed’s “FOMC Forecasts”.
Yes, that’s right.
Based on mathematical algorithms.
Let me offer an over-simplified example –
“If DXY goes up down by ‘X’, buy ‘Y’ shares of GLD”.
This new Fed data may not be programmed into equations.
Therefore, the new data point likely isn’t priced-in just yet.
And that data could cause some unexpected volatility.
Powell holds a MSM presser at 2:30 p.m. EST.
Though I’m not looking for much out of it.
Powell never says anything specific.
“Partly cloudy & mostly sunny”.
Listen for the Fed ambiguity.
Aided by MSM softballs.
In place of, you know.
No matter what the Fed does, however, it’s all good for gold & silver.
Because with a pause on interest rates, that implies “accomodative” monetary policy, which is another way of saying “to keep on the money-printing gas, just don’t hold a constant red-line”, and it is simply a fact that gold & silver thrive in an environment of money printing, but, if the Fed gives a surprise rate hike, or overtly implies, or otherwise, that is is turning more “hawkish”, that action and signaling would indicate price-inflation pressures in the economy, and it is simply a fact that gold & silver will be sought after in their role as the ultimate hedge against inflation.
The gold-to-silver ratio is still favoring silver:
It currently takes 85 ounces of silver to buy just one single ounce of gold, and, in my opinion, when we get the upside surprise in the price of silver, which I think is coming soon, we also get a massive downside surprise in the gold-to-silver ratio, meaning silver’s price increases vastly out-perform gold’s price increases.
Gold was nearly pounded below $1300 overnight:
I was looking for a smash below $1300, perhaps to $1280, but gold has been steadily rising in price since 5:30 a.m. EST, so if the cartel is going to pounce, it needs to pounce quick.
The same can be said for silver:
Rising in price since 5:00 a.m.
The cartel would just love to paint another death cross on silver’s daily chart:
I’m not looking for silver to drop below $15 at this point, but if the silver price does, I’m backin’ up the truck.
Palladium is still on fire:
This is because of the physical palladium shortage, and palladium is giving us a taste of things to come in gold & silver.
Platinum has been charging higher:
That is one massive bottom being carved-out over the past 52-weeks.
Copper is still consolidating above $2.90:
When the dollar begins falling again, which the dollar will, and when inflation really becomes felt by the man on the street, which inflation will, then in my opinion, sovereign hodlers of US Treasuries are going to embark on a shopping spree, a spree which likely includes stockpiling copper.
Crude oil’s daily price action is still very tight:
I do think the next big move is up, not down, and that we don’t double-bottom.
The cartel has given VIX the kiss of death:
Because when bringing max pain to America, the whole “shock-n-awe” aspect of it is much more dramatic if there is total market complacency.
The stock market will surely be a focal point of many press conference questions today:
There will not be, however, any questions asked of any significance, nor will any answers be spewed with specificity.
I do think the dollar begins to fall very soon:
If Powell comes-out extra dovish, the dollar could begin falling again as early as this week.
I do think we take out the lows in yield on the 10-Year Note:
Hard-to-time since we don’t know the Deep State/globalists’ plan.
Only a few people know the timing of the stock market crash.
I do think the bastards will time it to the 2020 election.
Because, let’s face it, President Trump is old.
He likely doesn’t want another toll taken.
And that would be a very heavy toll.
Besides, his work is almost done.
“Best deal ever” is nearly done.
Of course, it ain’t with China.
It’s a different type of deal.
It sells the Red Hats.
Down the river.
– Half Dollar
About the Author
U.S. Army Iraq War Combat Veteran Paul “Half Dollar” Eberhart has an AS in Information Systems and Security from Western Technical College and a BA in Spanish from The University of North Carolina at Chapel Hill. Paul dived into gold & silver in 2009 as a natural progression from the prepper community. He is self-studied in the field of economics, an active amateur trader, and a Silver Bug at heart.