Stocks And Precious Metals Charts - And It Is

"Shanghai Gold will change the current gold market with its 'consumed in the East but priced in the West'arrangement.When China has the right to speak in the international gold market, the true price of gold will be revealed".

Xu Luode, Chairman, Shanghai Gold Exchange, 15 May 2014

Stocks dropped significantly after Trump initiated a 'shock tariff' on all Mexican goods effective June 10.

The Dollar declined.

Gold rallied significantly in a flight to safety. Silver tagged along, weighed down a bit by its industrial component.

The US Treasury yield curve is now more inverted than at any time since 2007 and the inception of the last financial crisis.

Treasuries are apparently pricing in two rate cuts for this year.

At the same time, junk bonds are signficantly diverged from this outlook on risk.

Something is going to break, and badly.

There will be a Non-Farm Payrolls report next Friday.

There is an economy of the lord of this world, that rewards the attentions of its adherents, temporarily if not fleetingly. And there is the economy of God, that embraces all of us in the next, forever.

For some that the world deems foolish, it is simply a matter of investment assumptions and horizons. Their hearts are invested in what is to come— what will endure.

Have a pleasant weekend.

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