I think I just heard a leather shoe slamming against a tin can!
Looks like our benevolent handlers in Congress just reached a budget accord and by the looks of it, they've kicked the can down the road once again. How will the stock market, currencies, and metals react tomorrow? Looks like the US dollar right now is hovering below 80 on the currency index. If it sags below 78 in the coming days, the metals should enjoy an upward ride. Meanwhile, silver and gold are showing signs of weakness...but that could just be a momentary fluke.
I'm hoping for another day in the green for EXK. We might be seeing signs of a "trend".....upwards. Lord only knows EXK is grossly undervalued below $4/share. GLTA
Not much to say today , but for the many reasons that metals rose yesterday, nothing has changed. There's little notable government reporting today, here or abroad.
From Market Watch - “European currencies do have a tendency to strengthen toward the end of the year,” he said, adding that the trend had been overshadowed in the past few years by the European crisis. The year-end strength in the euro has to do with export companies that tend to hedge at the end of the year for the following year."
That is true. Also, European's, Australians and a lot of other countries are getting upset with our government on several issues. International spying by our government is starting to make waves. Many foreigners are starting to boycott the dollar and dollar trades. This could Heat Up With Activism, but what do I know. The CME pasted rules yesterday to investigate non banking criminal futures activity. I expect that this is mostly because of possible banking restrictions with hedging.
The story of a budget accord was the headline in my local paper.
It said the agreement would restore $65 billion in cuts and there would be $85 billion in new fees and spending cuts over a DECADE...wow! they are cutting $2 billion a year!!!!
And here is how the writers describe it...
a largely symbolic cut of roughly $20 billion in the nation's $17 trillion debt.
That sure implies that the writers do not know that we are running a $700 billion deficient each year and would grow to much higher than $17 trillion over the next ten years.
If writers and editors neglect to tell the public in their stories, how can people know the truth.
The deal still has to pass both houses of congress.
Yeah, yeah, yeah. And the Congressional budget office informs us that Obamacare will cost in excess of $1.7 trillion during the coming decade. I wonder how this additional spending will be layered into that $2 billion budget savings per year. And for added budgetary pain, just look at past history. The government has NEVER accurately predicted the future costs of new social programs. They always grossly underestimate those costs.
The DRY Index or ICE may fall more based on Foreigners view of the frosty dollar
Foreigner Cold As Ice Lyrics
You're as cold as ice
You're willing to sacrifice our love
You never take advice
Someday you'll pay the price US government, I know
I've seen it before, it happens all the time
(Oooh-oooh) You're closing the door, you leave the world behind
You're digging for gold, yet throwing away
(Aaah-aaah) A fortune in feelings, but someday you'll pay more for my gold