Stocks Break Out, Gold Bulls Patiently Await ‘Turmoil’
$DIA, $SPY, $QQQ, $VXX, $GLD
The Gold market is greeting geopolitical turmoil with a Yawn, as stocks made a strong move North on with the S&P 500 and the NAS Comp each + 1.0%, and the DJIA advancing 0.8%.
The precious Yellow metal has dropped for 3 weeks running and was little changed Wednesday as Treasury yields and Crude Oil jumped on the US plan to reinstate sanctions on Iran.
The metal is trading at the cheapest relative to Crude Oil since late Y 2014.
Investors generally flock to Gold as a safe-haven during times of global tension, heightened US-Iran strains have ailed to trigger a rise in demand on a stronger USD, higher US interest rates and a solid world economy.
The safe-haven trade is not and has just not been there
Gold futures for June delivery rose less than 0.1% to $1,313.20 oz at the close on the COMEX in New York
Today, 1 oz of Gold buys about 18.5 bbls of Crude Oil, the lowest since December 2014. Crude rallied after President Donald Trump’s decision Tuesday to exit the Iran nuclear accord and reintroduce sanctions on the country
Wednesday, the major US stock market indexes finished at: DJIA +182.33 at 24542.54, NAS Comp +73.00 at 7339.91, S&P 500 +25.87 at 2697.79
Volume: Trade on the NYSE came in at 941-M/shares exchanged
- NAS Comp +6.3% YTD
- Russell 2000 +3.9% YTD
- S&P 500 +0.9% YTD
- DJIA -0.7% YTD
HeffX-LTN’s Market Indexes Technical Analysis