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.

 

 

 

SP 500 and NDX Futures Daily Charts - Thermopylae

Stocks bounced a bit today, for largely technical reasons, ahead of the FOMC rate decision tomorrow.

The risks in equities remain pronounced and, in my own estimation, mispriced.

 

The risks of a craven demagogue or a pliant fool in the service of Big Money becoming the next President of the United States have gone exponential.

Have a pleasant evening.

 

 

 

 

 

 

Gold Daily and Silver Weekly Charts - Credibility Trap

"While we were not watching, conspiracy theory has undergone Orwellian redefinition. A 'conspiracy theory' no longer means an event explained by a conspiracy. Instead, it now means any explanation, or even a fact, that is out of step with the government’s explanation and that of its media pimps...

In other words, as truth becomes uncomfortable for government and its Ministry of Propaganda, truth is redefined as conspiracy theory, by which is meant an absurd and laughable explanation that we should ignore."

Paul Craig Roberts

The Bucket Shop was quiet last Friday and today, as the usual punters were swapping stories and matching dollar bills for side bets.

 

There was a little spike in the precious metals as it was announced that the EU is preparing capital controls in the event of a Greek Default.

 

Keep an eye on these developments as I think that the powers that be are increasingly concerned that their fantastic (as in born of fantasy) plans are coming unraveled.

 

They do not know what they are doing but, of more concern, it is not clear that they even care, as long as they think that they are winning.

 

Have a pleasant evening.

 

 

 

 

SP 500 and NDX Futures Daily Charts - Roadhouse Blues

We saw a little flight to safety in the metals today, and a slump in equities that was overcome after the European markets closed.

This was all about concerns with a Greek default, and the weakness of the global banking system, and the not-very-exceptional weakness in the American economy.

Keep your eyes on the road and your hands on the wheel, as the song says.

Have a pleasant evening.