Gold resumes its slide amidst stocks' wild ride

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Gold resumes its slide amidst stocks' wild ride

In settling out the week yesterday at 1650, Gold recorded its lowest weekly close of the past four. And within the guise of the ongoing weekly parabolic Short trend , let's recall what herein was penned four weeks ago upon it all starting back then:That's just some 50 points further down from here, which given that Gold's EWTR is now 58 points means the sub-1600s can be reasonably reached with in a week or two. And no, we're not Short Gold.

Regardless of such colliding technicals , the Gold Story remains pretty much the same: lack of ownership interest plus the purported paper price suppression continue to keep the precious metals under wraps. But wait, there's more: You might recall this from mid-May when the S&P was over 4000: "...we see no sense fundamentally to be in the stock market..." --[deMeadville Prescient Commentary, Tue, 17 May].And what "this means" is that should there be no year-over-year S&P earnings growth, price at the mean is 2522, .

For the week just past, of the 11 incoming Baro metrics, nine were net positive , of which six were direct period-over-period improvements. And as we've pointed out over the years, inflation tends to work as an Econ Baro positive as it reflects demand for goods and services: ya just gotta pay more for 'em. This even as Chicago FedPrez Charles"Ever Upwards" Evans says the Federal Reserve need keep raising rates.

 

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