S&P 500 led by large cap tech and biotech benefited from the VIX crush, and bond market sentiment remained constructive. Yields certainly didn‘t continue rising, but the dollar is eyeing the Monday mentioned 103.50 at least. This would though exert more pressure on gold rather than the 500-strong index that would continue benefiting from rotations, and also CPI tomorrow coming at or more probably below expectations while PPI would reveal even more of an (upcoming) real economy slowdown – not enough to bring about a recession, but enough to cause soft landing turbulence (doubts).

Let‘s move right into the charts (all courtesy of www.stockcharts.com).
 

Credit Markets

Credit markets aren‘t flashing red, and once the dollar turns south again, not breaking early Dec highs by much really, a fresh round of risk taking in still easy monetary conditions, and profits chasing, would follow.
 

Gold, Silver, and Miners

Precious metals keep base building, upswing doesn‘t stand a chance yet, and the path for this week and next is outlined in the caption. Yields and the dollar are more than half way through rising, and a spring rally in gold is ahead.
 

Crude Oil

Crude oil confirmed it was to shake off yesterday‘s setback really fast as nothing all too bearish has happened with the Houthi deal – just as I wrote Monday on the premium Telegram channel for gold and oil – remember that world demand is still rising irrespective of the West while OPEC+ has a tight grip on supply. Last but not least, soft landing thesis is also supportive of the oil price, and the degree of negative sentiment regarding Europe, has been huge lately, and that makes up for less gloom in the near term as well.

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