Zero Hedge: Everybody hates gold these days, but with the March FOMC meeting coming up, things could get “dynamic” to the upside.
We won’t go into the technicalities of why Fed does not want surging yields, there are plenty of pundits explaining this already.
The surge in gov debt over past 10 years is huge and interest payments going forward are not looking great. Real rates must be kept negative.
“They will throw their silver into the streets,
And their gold will be like refuse;
Their silver and their gold will not be able to deliver them
In the day of the wrath of the Lord ….” Ezekiel 7:19
1, Gold is bouncing today (first time in a while) and RSI is coming from extremely oversold levels. At the same time, mighty DXY is showing signs of pausing, with RSI at extreme overbought levels.
2, Gold is finding support from a longer term trend line, while DXY reverses at big short term resistance levels. Note how “dislocated gold is from the 200 day moving average here, while DXY almost “kissed” it.
2, Gold is finding support from a longer term trend line, while DXY reverses at big short term resistance levels. Note how “dislocated gold is from the 200 day moving average here, while DXY almost “kissed” it.
