Gold’s Macro Fundamentals

Excerpted from the 31 page NFTRH 283 (dated 3.23.14), which also thoroughly analyzed the precious metals and several other markets from a technical standpoint.

Gold’s Macro Fundamentals

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This spike in short-term yields (2-year shown) is what harpooned gold last week and finally got it under control.

2.30

More importantly, this spike in the 2-year vs. the 30-year really hurt gold.

These spikes predictably came as the FOMC successfully managed to get the market thinking about an end to the damaging Zero Interest Rate Policy, ZIRP.

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NFTRH Update, Quick Market Roundup…

Data came in weaker this morning with a home sales drop of 3.3% in February.  The ‘all one market’ market is cheering to banish the evil spirits released by Janet Yellen last week.  Those would be the rising short term interest rate spirits and they are key to our fundamentals.

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