Gold Daily and Silver Weekly Charts - The Fog of Currency War

"Violence, less and less embarrassed by the limits imposed by centuries of lawfulness, is brazenly and victoriously striding across the whole world, unconcerned that its infertility has been demonstrated and proved many times in history. What is more, it is not simply crude power that triumphs abroad, but its exultant justification. The world is being inundated by the brazen conviction that power can do anything, and justice nothing."

Aleksandr Isayevich Solzhenitsyn

There was a flight to safety in the precious metals this morning on the news of a commercial airliner being downed near the border of the Ukraine and Russia, and that Israel has launched a ground invasion of Gaza.  Volatility spiked on wars and rumours of war.

Violence and disorder tends to trump the printing press. Truth is led down a blind alley and strangled.

Apparently the markets have not read the memo that there are no fundamentals for the precious metals.  I expect a bravado confidence to return to the markets soon enough.  Until the next 'big event.'  These fellows have no limits.

Well, Bubbles has had her say, and the fog of currency war descends again on the Pax Americana.

Have a pleasant evening.

SP 500 and NDX Futures Daily Charts - Skittish, Toombs, Skittish...

In this morning's commentary on The Recovery I ended with, "Time for more distractions. What time's the next 'big event'?"

About 45 minutes later I edited it out, as the news from Ukraine was breaking.

I do not wish to traffic in human tragedy.   And I remember the families and those who have suffered loss.

There is a bull market in chicken hawks.  It serves to distract and divert the jaded,  and besides, one must never waste a crisis.

May the odds be ever in your favour.

Have a pleasant evening.

The Recovery™ In One Chart

"Plunderers of the world, when nothing remains on the lands to which they have laid waste by wanton thievery, they search out across the seas.  The wealth of another region excites their greed; and if it is weak, their lust for power as well.  Nothing from the rising to the setting of the sun is enough for them. Among all others only they are compelled to attack the poor as well as the rich.

Robbery, rape, and slaughter they falsely call empire; and where they make a desert, they call it peace."

Tacitus, Agricola

Funny thing, human nature. Despite all the trappings of progress nothing ever seems to change except the names.

Empire is now called 'war on terror.'

Panem et circenses. Washington is certainly a circus, and we know who is getting all the bread.