Jobs Chasing Inflation

S&P 500 tested the bottom part of the 3,875 – 3,810 range sufficiently, and it‘s about time to start probing the breakout. Even the Fed minutes are out of the way, with the hawkish realization that the Fed isn‘t planning to cut or ease any time soon. Throwing cold water on the rally, but bonds didn‘t get the message yesterday, and continued in risk-on posture, see the high HYG volume and reasonably long white body candle.

The buyers will have an easier time when TSLA and AAPL get their act (temporarily) together – good luck though given the non-farm employment change sending bonds down.

The narrow window of opportunity to allow the market celebrate CPI while PPI continues raising its ugly head is at hand.

Keep enjoying the lively Twitter feed serving you all already in, which comes on top of getting the key daily analytics right into your mailbox. Plenty gets addressed there (or on Telegram if you prefer), but the analyses (whether short or long format, depending on market action) over email are the bedrock.
So, make sure you‘re signed up for the free newsletter and that you have my Twitter profile open with notifications on so as not to miss a thing, and to benefit from extra intraday calls.

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

Gold, Silver, and Miners

gold, silver and miners

Silver isn‘t in any real danger here – levels talked about in the linked tweet. Given the copper upswing playing out premarket, we‘re likely to see the white metal do better Friday and Monday.
 

Copper

copper

Copper should be leading the commodity sector, and as I wrote weeks ago, 2022 was the year of energy, and 2023 would belong to metals and agrifoods.


More By This Author:

Yields Are Clear
Budding Sign Not To Miss
The Year In Review And Ahead

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Leslie Miriam 1 year ago Member's comment

Tough to believe their numbers.