Fed Funds Rate Cut by 50BPS, Gold Touches US$2,600
With the recent Fed cut, Barry Dawes of Martin Place Securities shares his thoughts and that he believes gold stocks are about to fly.
The Fed, that group of 12 that meets every six weeks to scare the life out of everyone, has decided to cut its Fed Funds Rate from 5.33% to 4.83%.
They are behind the curve yet again. The markets have been indicating this for about four weeks.
I believe more cuts are to come.
And talking about Heeding the markets, not the commentators, have a look at this!
This was just before the announcement.
Markets have been indicating at least 50bps for weeks, commentators just 25bps.
Who would heed these commentators?
What a joke.
Bond yields have much further to fall.
Gold
Gold has a nice +US$32 spike!
It almost touched US$2,600.
The is an uptrend in place.
Parabola intact.
Gold Stocks
Gold stocks have rallied to a new near-term high.
Bounced off this uptrend channel and should fly tomorrow!
Head the markets, not the commentators.
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