Gold Daily and Silver Weekly Charts - Must Be an FOMC Week

“The common people pray for rain, healthy children and a summer that never ends. It is no matter to them if the high lords play their game of thrones, so long as they are left in peace.”

George R.R. Martin, A Game of Thrones

The jitters went by the wayside as the markets took a big snort of economic news this morning and rallied higher, in what was clearly a 'risk on' trade.

The US and its client states condemned the Russia meddling in the Ukraine, and dismissed the vote in Crimea. You may recall that the US and its allies helped to replace the government in the Ukraine 'ex-vote.' Our meddling is the only one that will be tolerated.

The resurgence of the neo-cons, unashamed after their decade of lies and carnage is remarkable. But a general lack of conscience and moral restraint is the hallmark of the culture it seems, from politicians to pundits.

This is an FOMC week, AND a triple witch stock expiration on Friday. So we are seeing some of the usual technical trading that one may have come to expect from this sort of thing.

This too will pass.

Happy St. Patrick's Day.

Have a pleasant evening.

SP 500 and NDX Futures Daily Charts - Risk On

Stocks took off like scalded cats running higher this morning as the economic news in the US came in 'better than expected.'

As a reminder this is an FOMC week, and a stock option expiry.

Our hypocrisy knows no bounds.

Gold Daily and Silver Weekly Charts - Gold Continues Higher as Miners Outperform

Gold continued punching higher after its breakout, but the less talked about story might be the performance of the mining stocks this year, which has been fairly impressive. I have intraday commentary and some relative performance charts on that here.

With silver lagging a bit it looks like a 'safe haven' trade so far, and some of it has to be a relief rally from the incredibly pounding that the metals have taken since the Germans asked for the return of their gold bullion in late 2012.  That apparently tipped over someone's punchbowl, and they unleashed the dogs of currency war. 

Speaking of the dogs of the financiers, I see where the FDIC is suing many of the large banks for their manipulation of LIBOR, based on the premise that in distorting the markets they caused other banks to suffer losses.

So what next. We have an FOMC two day meeting next week, with their announcement on Wednesday. I would expect to see the usual taper talk and mild jawboning, with a 'steady as she goes' stance.

There will be a triple witch stock option expiration on Friday. The next Comex metals option expiration will be on the following week, on the 26th of March. These are for the April contracts.

Have a pleasant weekend.

SP 500 and NDX Futures Daily Charts - Quiet Trade, Crimea Vote

Very light volumes today as the markets tended towards jitters, judging by the VIX chart which is below.

FOMC next week, and a triple witch stock option expiration on Friday. But the real attention may be to the referendum vote in the Crimea on Sunday, and any Russian plans to act on a vote for annexation.

Let's see if the wiseguys get a chance to buy the dip and run the shorts sometime next week in honor of the Fed and the triple witch in a squeeze play. Or not. The geopoliticals may have some say in this.

Have a pleasant evening.