William of Ockham
"Ignorance is the mother of presumption."
Marie Le Jars de Gournay
“The most important things to say are those which often I did not think necessary for me to say — because they were too obvious.”
André Gide
"When speculation has done its worst, two and two still make four."
Samuel Johnson
The underpinnings of the equity markets is froth.
And so we should not be surprised at its apparent instability.
Speculation can only go so far, and then retreats with all haste in the face of its mispriced assumptions.
But greed turns to fear and fear back to greed, so the wash and rinse continues.
The easy money in this bubble has been made.
Stocks plunged but managed to claw their way back to unchanged at the close.
Gold was up a bit along with the Dollar.
Silver showed some sympathy with the market weakness. It often does.
The VIX rocketed and then backed off with the bounce in stocks.
Is this the wash out that ends what is a normal and customary correction in a bull market?
Are you feeling lucky?
FOMC on Wednesday.
Precious metal option expiration on the COMEX also on Wednesday.
Have a pleasant evening.
