Loading ...So, the dollar is down today despite a higher 10 yr. The 10 yr. should not be higher given that the economic data was absolutely dismal. Personal consumption fell off a cliff, falling 80% from last quarter according to ZH. That is a huge indicator that people are all spent up and are not buying anything but necessities. I actually expect that number to go negative, unless gas prices force the number higher. People are broke. Obama/Biden and their Fed lackey’s and globalists have destroyed the economy. Pending home sales were the worst in 22 years. There are no buyers with mortgages at 8%.
Peter Schiff’s article yesterday was timely. Almost everything he said was evident in today’s numbers.
The dollar is down, but not helping pm’s likely because the 10 yr. is up another 4 bips, and the dollar will come back as the day goes on. That is evident in the pm shares as well. Plus, the Crimex rig.
Here’s the rub though, rates should not be higher. The GDP was about as expected at 2.1% growth, but the underlying numbers were dismal. Therefore, the GDP numbers are fake as usual.
I truly think the Fed is losing control of the bond market. If that is the case, I’d think that gold will eventually capture some of those dollars coming out, although we still have the problem of the Crimex.
Notice Bitcoin up today. A lot of weird crosscurrents. Copper shares are up.
I also believe that if the bond market spirals out of control, the dollar will start to fall as well.