SP 500 and NDX Futures Daily Charts - Pullback Say What?

Stocks were pulling back to key support levels today.

Let's see what tomorrow brings.

 

NAV Premiums of Certain Precious Metal Trusts and Funds

The gold/silver ratio has fallen from its extremes down to something less lofty but still on the high side.

PSLV premium has turned solidly positive. Will wonders never cease?  Let's see if gold turns positive as well.  I suspect this will not happen until gold has broken through overhead resistance, and a short squeeze gets underway.

The Central Trusts still lag a bit. As you know I have speculated that this may be because they have no redemption process.   Other than this, the metals there have what is considered the 'right kind' of pedigree and are audited twice a year with an external auditor.

"Central Fund's Gold and Silver Bullion is stored in the highest security rated treasury vaults at a Canadian chartered bank on an unencumbered, allocated and segregated basis."

COMEX Registered Ounces Fall To New Low, Total Gold Steady

“The tyrant is a child of Pride
Who drinks his sickening cup
Of recklessness and vanity,
Until from his heights he headlong
Plummets into the dust of hope.”

Sophocles, Oedipus Rex

Weighed, and found wanting.

Stand and deliver.

 

Gold Daily and Silver Weekly Charts

Retail Sales had stocks on the move higher while gold saw a bit of a pullback after its run higher.

Silver was relatively strong as it continues to play 'catch up' for the year.

Tomorrow we will see the PPI numbers.

Someone presented an argument that the price of gold went down so that the wiseguys could make better buys and ride it back up.

I think this is quite likely, but it is not the only or even the primary reason.  The wiseguys needed some sort of sanction to engage in such a profound market operation.  And making money on the side which they jigger prices goes without saying as a perk.    Few things in life are due to simply one thing or another, but have a buffet of motivations as they have a number of participants with their own motivations.

Much of this back and forth action in trend channels is the 'wax on, wax off' phenomenon, and the point of the Dr. Evil strategy is to disrupt a market to make money on both sides of that gimmickry.

But to disrupt the entire world market in a very visible way requires a bit more latitude than the average trading desk can provide. And understanding this helps one to interpret the data with a bit more insight. There is little doubt in my mind that some very big players found themselves 'staring into the abyss' when the Bundesbank asked for the return of the German people's gold. And this has long term implications. That the market operators were able to use this information for their own gains goes without saying. They are not charitable institutions. They always get to wet their beaks in the pool of official corruption.

Make of this rather obvious comment on the markets what you will.