SD Midweek Update: One scan of the headlines shows utter chaos all around the world, except for this one lone island of sheer greatness…
The financially settled gold futures products have begun trading on the COMEX.
Here is the chart of the contracts priced in Renminbi:
Which is actually “off shore renminbi”, as in “off shore yuan”, and the price is per gram.
I’m still assessing the significance of this as well as the silence of the supposed “gold advocates”.
It’s not like they’re quiet about “gold”, “China”, or “Communism”.
You know who they are, just scroll through their Tweets and that should tell you all you need to know.
What is also striking me as curious today is that in the markets and in the economy, there seems to be a lot of attention in the mainstream media placed on problems abroad, and when the MSM is focusing on the United States, the attention is generally placed on the bread and circuses that are the 2020 election and the “impeachment”.
Which is kind of scary when you really think about it.
Well, just when things seem completely stable, in a bread and circuses kind of way, BOOM!
The falling price of gold is also telling “traders” and “investors” that everything is all good in the US economy & markets:
Gold is at risk of putting in a second lower-low, and we’re far from being extremely oversold on the technicals, and as such, the short-term remains bearish from a technical standpoint.
Silver had been holding the line at $17.50:
I’m sure the cartel is just salivating right now to knock another dollar off the silver price.
The gold-to-silver ratio remains plateaued:
It appears that gold has not yet stopped falling, however, and with silver generally overshooting gold in both directions, the GSR is still suggesting silver has some catching-down to do to gold, which means a rise above 90.
But like I have been saying for a week now, I do not currently have any short-term calls/forecasts for gold & silver.
I am in observation mode right now, and, somewhat paradoxically, I’m more concerned about the possibility of a shock-announcement or some shock-event than I am about the short-term direction of gold & silver.
I mean, I’m scrolling through Zero Hedge, you know, everybody’s favorite mainstream media “news” source that likes to think it’s “alternative”, and here’s what the first nine articles are currently about:
- Putin/Greta Thunberg
- Terrorism in France
- London protests
- Kurds/Syria/Middle East
- China auto sales
See what I mean?
Not a care in the world in the United States.
OK, “Hey Half Dollar, you don’t get it man, they do that because it’s overnight and that’s news for the rest of the world”.
Apparently you do not scroll through ZH throughout the day?
Because if you did, you would clearly see the agenda.
Besides, why would there be any problems in the United States when we not only have the greatest economy in the history of the United States, but in all of history:
We now have the greatest Economy in history! https://t.co/8fLOejOpxH
— Donald J. Trump (@realDonaldTrump) October 16, 2019
I forget that the Simpsons had Trump, and several other movies, like that Home Alone movie, which, of course, is in addition to the WWE Wrestling and that “reality” TV show he had.
And why does that matter?
Because Trump is an actor.
And this is a major set-up.
A set-up for what?
Maximum pain brought to the United States in the form of economic misery and financial ruin.
The bear flag I have been warning about in platinum is, so far, the correct call:
As long as gold & silver are taking a hit, then platinum will be taking a hit too.
Palladium, on the other hand, is doing its own thing:
We’re over $1700 per ounce, and we could even run a little more before the pullback.
Crude oil is at the lower end of its sideways channel:
At this point, I would not be surprised to see a bear trap with price falling below $50.
Copper is showing quite the volatility:
For now, I still think the bottom is in with those spike lows at $2.50.
The Dow is still within spitting distance of all-time record highs:
Some important data releases, including Retail Sales, get released today and tomorrow, so it will be interesting to see how the “market” interprets the “news”.
I’ve been looking for the VIX to get walked back-down:
We might get a spike low too, you know, just to ramp the stock market to those all-time highs.
Yield on the 10-Year Note is still showing unhealthy volatility:
If we get that push for all-time record highs in the stock market, then I’d look for continued US bond selling as “investors” move from risk off (bonds) to risk on (stocks), which means we could see even more upside in yield.
It’s not looking good for the dollar bulls:
We’re sitting under the 50-day moving average right now, and it will be long before it’s the 200-day.
What’s the bottom line as we find ourselves here this beautiful Wednesday in mid-October?
There’s no hope for anyone who truly believes the world’s falling apart, just not the US.
The US is not some secluded, isolated place, free from external market forces.
The problem is that we’re being set-up for economic collapse in the USA.
Which means everything has to seem as if everything is all good.
In reality, President Trump’s just adding in his own little flair.
‘Cause “all good”, well, just isn’t really good enough.
Nor is having the greatest US economy, ever.
We have the greatest economy in history!
Which means it’s as good as it gets.
So I hope everybody enjoys it.
Because what’s to follow?
Some very dark times.
In the US markets.
In the economy.
On Main St.
– 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.