16 June 2015

Gold Daily and Silver Weekly Charts - FOMC Rate Decision Tomorrow - Credibility Trap

"They took up several obviously wrong people, and they ran their heads very hard against wrong ideas, and persisted in trying to fit the circumstances to the ideas, instead of trying to extract ideas from the circumstances."

Charles Dickens, Great Expectations

"Oh what a tangled web we weave
When first we practice to deceive."

Sir Walter Scott, Marmion

“Reality denied comes back to haunt.”

Philip K. Dick

As you know from the economic calendar there will be the Fed's June Rate Decision tomorrow afternoon.

I doubt very much whether the Fed will actually do anything.

They *might* say something that will bring the 'will they or won't the raise' in September talk back to the forefront. But that is very premature until we see some signs of stabilization in Europe and Asia, and anything resembling a sustainable rebound in the States.

I never ceased to be amazed how little elite economists and the pampered Princes of Wall Street and the Beltway understand the working people of the country, in terms of what they do and how they think.

There should be little doubt that they consider the average person to be an apathetic, hapless fool, and they act accordingly.

And like the last two financial crises, there is not much doubt that they will be surprised once again.

Have a pleasant evening.