At this point in the game I have little concern for the price of gold as it’s trading almost exactly in tandem with the Japanese Yen ( JPY ) – both functioning as obvious “safe havens”.
These assets obviously gain momentum when “risk comes off” and considering that markets are now re testing the near term highs – what should one expect? ( insert lightbulb above head here )
The average investor, caught in the headlights of the main stream media and The Fed is certainly not “seeking safety” here as of this morning
Appreciate that nearly everything I track is stretched to extremes right now and rightfully so as…we are so very close to one of the largest turns this market will have seen in a very long time.
Why would gold be any different? A couple bucks here and a couple bucks there – not to worry.
These low volume days ( some of the lowest volume days of the year ) are legendary for getting people excited / worried as prices in “all assets” swing to extremes, washing out weak hands, luring in new buyers etc…
It’s always this way before a major turn in markets as the boys at your local brokerage / bank take the opportunity to push prices “as far in their favor as possible” before dumping.
September has everyone back in their cubicles. Likely back in their cubicles selling stocks and buying gold.
Gold is good – just not particularly “speedy” here at the moment.