Loading ...The selling today in the SM was brutal and continued in the after hours. So did the selling in oil and Bitcoin which is now down $7500 – over 6%.
Bonds got bought pretty hard. 10 yr down 11 bips – we haven’t seen a SM selloff where they’ve rushed into bonds in quite awhile.
Gold continued higher! Up another $11 AH but silver has given back $.23
Going to be really interesting on Sunday night. Are we going to be able to escape a SM downturn or even a crash? There’s a heckuva long way to go on the downside if the selling gets going in earnest.
The Fed meets at the end of the month. That’s a long way from now if the SM is going to crater. Fortunately we’re on the right side of the Fed now since they’ve already cut once, but it will still be quite something if we can weather the storm.
Seems this is how the big moves down start, sort of out of nowhere.
Lastly, if bonds and pm’s become the only game in town, we could see some huge moves. OTOH, if they have to dump gold to cover margin calls, then we know the drill. One thing is different this time, it’s been central bank buying that has driven this rally. Funny how they are out in front – as usual.