Gold's Near-Term Brush With The 1600s

'Course, the cynic shall simply say that Copper had overshot Gold to the downside as COVID came on, and that now 'tis overshot Gold to the upside. But here's the but: Copper today is 4.0670, having not traded at that level since 09 September 2011 ... on which date Gold settled at 1861, just three days after having broken above 1900 for the very first time. Moreover by today's Gold Scoreboard, price today "ought be" 3683. (We analyze to make you wise).

And wise or otherwise came word this past week that forecasters are raising their 2021 economic growth expectations, (which is why the stock market never goes down despite the disastrous dearth of earnings). The new Stateside Administration says it "can't promise" that in a year's time we'll be "distancing" less and so forth, but the Economic Barometer says "smile for the camera", for after all it too is again on the rise. Reports this past week included increases in February's New York State Empire Index as well as in January's Retail Sales, Capacity Utilization, Wholesale Inflation, Building Permits, Existing Home Sales and Export Prices. "Smile away"--[McCartney, '71]:

Plenty of good news there, even as the Federal Open Market Committee's 26/27 January Meeting Minutes inferred that easy monetary policy shall remain in vogue. (By the way, have you noticed that both the U.S. Department of the Treasury and Federal Reserve are going into the Climate Change business? We'll see up with which potential Treasury-positioned Sarah "Bloomin'" Raskin and FedGov Lael "The Brain" Brainard come). "In other news, the Fed looks to maintain its monthly purchases of both fertilizer and organic air..."

Meanwhile: economies this side of The Pond don't seem to be faring as well. 'Tis reported that the United Kingdom is attempting to weather its worst economic slump in three centuries; newly-named Italian Prime Minister Mario Draghi is trying to pull all of his nation's parties together to weather the deep downturn there; and 'twill be a tough task for Europe at large to weather weaning itself off of some €1.5 trillion in COVID economic relief programs. Bonne chance à tous...

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