Stocks And Precious Metals Charts - 'The Market Is Always Right'

By Jesse of Jesse's Cafe Americain

Friday, August 16, 2024 5:33 PM EDT

We had the stock option expiration today, and is customary, the reversal of some recent trends.

Gold and silver were the big story. The recent bout of price suppression, as seen in the heavy selling of the metals on the New York open, negating the overnight gains in Asia, was relaxed. And the metals rocketed higher.

The Dollar fell, again reversing its recent trend.

VIX fell back down to a more recent level of its almost continuous mispricing of risks.

And if you think that 'the market is always right' you have not been paying attention of the history of our century. The omniscient and efficient market is a perennial and well-worn canard.

As usual, signs and portents signaling rate cuts by the Fed have been driving the trade, which is largely 'technical' and inwardly focused.

Next week the Fed will be having its annual meeting in Jackson Hole, Wyoming. They generally have their meetings in nice places, well-removed from the economic carnage that their willful errors have been inflicting on the broader economy

I strongly suspect that before too long we are going to see a major development in the ongoing wars in the Ukraine and the Mideast, which covers multiple locations.

Have a pleasant weekend.

(Click on image to enlarge)