Stocks and Precious Metals Charts - Captain America Saves the Day - Metals Hammered for Comex Expiration

Captain America

"We are the United States of Amnesia, which is encouraged by a media that has no desire to tell us the truth about anything, serving their corporate masters who have other plans to dominate us."

Gore Vidal


“The world says: 'You have needs -- satisfy them. You have as much right as the rich and the mighty. Don't hesitate to satisfy your needs; indeed, expand your needs and demand more.'  This is the worldly doctrine of today. And they believe that this is freedom. The result for the rich is isolation and suicide, for the poor, envy and murder.”

Fyodor Dostoyevsky, The Brothers Karamazov


"Full of joy, and full of sorrow,
Full of thoughts;
Yearning and trembling
In uncertain anguish;
Exulting to heaven,
Cast down unto death—
Happy alone is the soul that loves."

Johann Wolfgang von Goethe, Egmont

Gold and especially silver took a hit today, which was their options expiration on the Comex.

What a surprise. No notions, no pretext. Simple thievery.

Silver *might* be setting an inverse head and shoulders bottom on the weekly chart, and I have tentatively marked it as such.

Let's see how the metals make it past the FOMC announcement tomorrow, and then the rest of the week.

Stocks were in rally mode as the dread coronavirus was eradicated by the attention deficit syndrome of the Wall Street spin machine, powered by hot money and greed.

The expectation of a 'Fed put' under the market is the strongest I have seen since the tech bubble and Greenspan, the poster child for moral hazard.

I am not so foolish to think that many people will listen to what I say now.

Perhaps there will be some knowledge here for those who come back later, to see how and why a supposedly exceptional people went quietly mad.

Have a pleasant evening.

Stocks and Precious Metals Charts - A Saturation of Arrogance - Comex Options Expiration Tomorrow

“Engage people with what they expect; it is what they are able to discern and confirms their projections. It settles them into predictable patterns of response, occupying their minds while you wait for the extraordinary moment — that which they cannot anticipate.”

Sun Tzu, The Art of War


“Hubris calls for nemesis, and in one form or another it's going to get it, not as a punishment from outside but as the completion of a pattern already started.”

Mary Midgley


"I have seen the moment of my greatness flicker,
And I have seen the eternal Footman hold my coat, and snicker,
And in short, I was afraid."

T. S. Eliot, The Love Song of J. Alfred Prufrock

Stocks declined sharply today, from their recent lofty heights, on a sudden feeling that we are not destined to enjoy a permanent series of new highs, no matter how outsized, guaranteed by the Fed.

Despite the obvious flight to safety, and new recognition of risk reflected in the VIX and the Dollar, gold and silver were carefully managed, no doubt with respect to the precious metals option expiration on the Comex tomorrow.

Despite all the selling in stocks, marked by a huge gap down on the open, there was remarkably little fear apparent in the trading of the day, and the commentariat in the media.  There was more of a sense of resentment that the entitlements our our elites to new highs were going to be delayed by some very rude act of nature.   Ignore it, and it will simply go away. It is an epidemic of careless indignation born of arrogance.

There will be ups and downs, ebbs and flows as we once again encounter our mortality.  We have only just begun to dine on the banquet of our consequences.

Have a pleasant evening.

Stocks and Precious Metals Charts - The Gathering Storm

"This house [the Senate] is a sanctuary; a citadel of law, of order, and of liberty; it is here—it is here in this exalted refuge—here, if anywhere, will be resistance made to the storms of political frenzy and the silent arts of corruption.  And if the Constitution be destined ever to perish by the sacrilegious hands of the demagogue or the usurper, which God avert, its expiring agonies will be witnessed on this floor."

Aaron Burr


"Beware the leaven of the Pharisees, which is a pious, hollow hypocrisy."

Luke 12:1


“Woe to you, scribes and Pharisees— hypocrites! For you are like whitewashed tombs which appear beautiful, but inside are full of dead men’s bones and all uncleanness. You outwardly appear righteous, but inside you are full of hypocrisy and lawlessness."

Matthew 23:27-28

Stocks failed to rally today, and gave it up to support a level below.

It dropped, but did not break, yet.

FOMC meeting next week, and the Impeachment trial continues.

The spokesmodels have assigned the blame to the spreading coronavirus from China.

I think we have a bad case of bubble-itis.  And it definitely has its fans and cheerleaders.

The dollar and gold and the vix caught a safe havens bid.

The comi-tragedy in the Senate continues to unravel.

Perhaps someone can write a book about it: Profiles in Cravenness.

Have a pleasant weekend.

Stocks and Precious Metals Charts - Davos Man - Breathless In a Field of Karma

"One of the common failings among honorable people is a failure to appreciate how thoroughly dishonorable some other people can be, and how dangerous it is to trust them."

Thomas Sowell


"A man who lies to himself and listens to his own lie comes to a point where he does not discern any truth either in himself or anywhere around him, and thus falls into disrespect towards himself and others. Not respecting anyone, he ceases to love, and having no love, he gives himself up to passions and coarse pleasures.”

Fyodor Dostoevsky, The Brothers Karamazov


“What shall I say about this generation?  John the Baptist did not drink wine, and often went without food, and you called him mad.  And I, the Messiah, both eat and drink, and you say that I am a glutton and a drunk, and am friends with the worst sort of sinners. The truth of you will be known by your works."

Matt 11:16-19

Stocks finally managed to rally into the close, led largely by the narrowing advance of big tech.

This is starting to resemble the peak of the tech stock bubble. It is a rally to nowhere.

The Dollar also finished higher.

Gold gave up some of its gains but managed to close in the green. Silver gave up a little.

Both metals are coiling within a range, and may keep doing so into the FOMC and Comex option expiration next week.

Have a pleasant evening.