Loading ...Very early here but the shares are looking strong in the premarket, even with the metals flat. The small caps in particular look strong. Buy the rip I guess.
Dollar up a bit. Rates surprisingly flat. Oil up near 1/2%. Bitcoin down $800 after a huge day yesterday. Crypto outside of Bitcoin has been ripping as Trump is going to allow it in retirement plans. That ought to make everyone nervous.
Platinum and Palladium taking a hit this am.
No eco data that matters today, it’s been a light week.
ZH has two articles out today about gold revaluation. Apparently, the Fed put out a paper extolling the virtues of doing so. Well, duh…
What struck me in the other article though was the havoc it will create in the paper markets for the shorts and rehypothecation. What happens if it’s ever discovered that each bar has 100 different owners? The other thing mentioned is that it is creating a gap that is widening between spot and paper prices. We can see it today. Spot is flat while the futures price is up over 1%. There’s almost a $100 gap and widening.
The article also mentions that since the tariff for gold bars on Switzerland is 39%, they will need to revalue up near $4750. Spot plus 39%. Switzerland provides 90% of the world’s bars.
These are exciting times. I suspect this is going to happen and maybe that’s why the shares are running relentlessly higher.
Funding Crisis Fears Grow After Gold Market ‘Upended’ On Report Of US Tariffs On Swiss Bullion
This is what markets had feared back in January…