I see many people considering that "nothing" came out of the FED meeting this week. In my view, this is very wrong. It's the first time in 10 years that they've even hinted at "possibly" lowering the interest rates, if the economy slowed down. Immediately following their meeting, gold jumped up $60/oz. and the 10-year bond yield fell straight off of a cliff. Both of those things were direct and noticeable market reactions to their announcements. As many people expect the FED to lower interest rates in July, I will be looking for even larger reactions in both of those areas at that time.
You are viewing a single comment's thread from:
Thanks for the analysis of the market, I missed it earlier to respond. I agree that people are missing the macro ramifications of what the FED did last week. The PMs and bonds are sniffing out and leading the market while the sheep are salivating over more free money. Free money is having a diminishing return and results are fading each and every time. July will be very interesting after the 4th of July holiday.