So, markets rally on the taper news

SilverSanchez

SilverSanchez

Active Member
Thats interesting why are they rallying.... and if it a true rally that will continue.... why didnt gold get slugged?


Hmmmmm, whats going on here
 
Because we are looking for relationships that do not exist....just because the market reacted in a certain way to earlier events does not mean it will repeat....too much time and worry has been put into this tapering business.....the realities are far less dramatic than what others have tried to get us to believe. In the end, gold will find a bottom in its own time and then it will rise when it is ready....taper or no taper....
 
Financial prosperity is actually good for gold.

If people have more money, some of that will go to gold (in increasing amounts i suspect)

The 'World will end' narrative is bad for gold when you think about it. If people dont have money for gold they wont buy gold..
 
I'll give it until the new year for the markets to properly digest the news, certainly leading into the January FOMC meeting . Previously when Japan tried to taper their QE the initial market reaction was positive for the first few weeks before reality set in.
 
I'll give it 2 more days.....it doesn't seem to matter whether it is good news or bad news....I always use the 3 day rule as I find it is either irrelevant, forgotten or dismissed in this time.
 
SilverSanchez said:
Thats interesting why are they rallying.... and if it a true rally that will continue.... why didnt gold get slugged?


Hmmmmm, whats going on here
Click to expand...

I'm thinking that the metals prices have already had the QE cut taken into account
 
Markets are finally returning to some normality? Tapering because the economy is looking healthier is a good thing and I believe Bernanke has done a fine job guiding the US economy back from the brink.
 
Ouch said:
Markets are finally returning to some normality? Tapering because the economy is looking healthier is a good thing and I believe Bernanke has done a fine job guiding the US economy back from the brink.
Click to expand...

You are kidding right?......I am guessing this is tongue in cheek....
 
fut_chart.ashx

2009 1100>1800 = +700
2010 1800>2250 = +450
2011 2250>2300 = +50
2012 2250>2700 = +450
2013 2700>3570 = +870

2009-2013 = +2470 = +224%
gold: +37% (despite the central bank net purchases of 1282.6 tonnes, what a sissy ?!)
silver: +62%
 
Two newsflash titles today:
"Stock market broke all records in 2013"
"Record amount companies went bankrupt in 2013 - 11,35% more than the previous record year 2012" (Graydon)

The stock market exodus, from these recordlevels, is gonna be fun.
 
tolly_67 said:
Ouch said:
Markets are finally returning to some normality? Tapering because the economy is looking healthier is a good thing and I believe Bernanke has done a fine job guiding the US economy back from the brink.
Click to expand...

You are kidding right?......I am guessing this is tongue in cheek....
Click to expand...

This is true. The people in charge of this tapering are very smart people. The fact that they are starting to pull out is a very positive sign and that message is washing over the masses. After all public sentiment is the number one driver of the markets. I suspect the US markets will charge ahead this year as they back off the bond buying.
 
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