Inflation has been a hot topic for a while now, but however bad or negligible one thinks it is, the fact of the matter is that gold is not fooled by any sort of rhetoric or hand-waving. It continues to charge ahead, breaching the $2500 mark recently. When governments and central banks stop trusting one another and get jittery about the future, they tend to stock up on gold, and we've certainly seen a little bit of that from various countries.
Strangely, oil hasn't really followed suit. You'd think it would, geopolitical considerations notwithstanding. But it's still in its tight trading channel between $70 and $84, the same place it's been for the last year. It's currently $77.38.
Silver is also lagging, currently at $29.83 per ounce, off its recent high of over $32 back in May. Gold has pushed higher in recent months, but silver has cooled off a bit. Granted, silver isn't hoarded by governments like gold is, but it's still weird.
The elephant in the room, of course, is the Fed. Jay Powell hinted about rate cuts last week, and the stock market responded positively. A September rate cut is now expected. I'm still not convinced. I think this is another "Lucy with the football" routine from Powell. Next Fed meeting is September 17-18, so we'll see then.
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