Eric in IL

Wednesday Outlook: Commodities, Global Markets

I looked back at Mar 9 articles. I do not find Mr Fry to be very helpful at inflection points. Either we gap higher soon or we head back to 750 on the S&P. I think the sideline money is waiting for some moving averages to turn positive.

China Concerns, Crashing Currencies and the Future of Gold Purchases

Gold actually looks to be forming a nice double-top here. I see no reason why we couldn't retrace all the way back to $600 in the next two years. I think we have seen a fundamental shift in leverage and the money printing will not have the near-term inflationary impacts that everyone expects. When Gold doesn't skyrocket to $2000 like everyone expects, and they see that equities have relatively outperformed from here, they will flee gold. That is when I'll buy. Platinum has already retraced to 2004 lows. Gold hasn't. And even if it does maintain a trend, the long-term trendline intercept is near $700.

China Wants to Ditch the Dollar

I think China needs a big f&%$ing slap! There is no alternative for them in terms of reserve currency, everyone's is weakening.
They can't dump the dollar. If they do, it further weakens and they get screwed. They have just enjoyed a 25% run up in the dollar minus the recent pullback, so they need to quit their b!tchin.
If they are whining so badly about the dollar, their economy must be in real trouble.