The U.S. Federal Reserve on Sunday afternoon again cut its key interest rate, by 1.0% this time, to a range of zero to 0.25%. The Fed also will pump an additional $700 billion into the U.S. financial system (quantitative easing) and has opened up swap lines with other major central banks, in an effort to keep liquidity in the financial markets. President Trump and Congress over the weekend agreed on an aid bill for businesses and consumers negatively impacted by the virus outbreak. Speculation is that it will take at least two months for this situation to get under control from a U.S. public health perspective.
Other world central banks over the weekend announced further actions to thwart the negative economic impact of the virus outbreak that has created a demand shock worldwide.
Following is an edited portion of one email dispatch from a market analyst Monday morning: “It’s becoming evident that the major central banks across the globe are using all their available tools to prevent a crisis, but it seems the fear of the pandemic is taking control of investors. Markets will continue going through this phase of extreme volatility until they are able to assess the scale of damage caused by the virus outbreak. The longer the outbreak persists and countries stay in emergency status, the harder the global economy will be hit. A recession seems almost impossible to prevent at this stage, but the question remains, how bad is it going to be? Equity strategists will not be able to provide meaningful targets for stock prices. That’s because even companies themselves cannot project revenue targets in such situations.”
Economic data released by China Monday showed industrial production in the world’s second-largest economy plunged 13.5% in the first two months of 2020. Retail sales dropped 20.5% in the period as consumers were locked at home. Traders are wondering if the same dour economic numbers will start to come out of Europe and the U.S.
The benchmark 10-year U.S. Treasury note sees its yield around 0.8% Monday. The U.S. dollar index is solidly lower in early U.S. trading. Nymex crude oil prices are solidly down and trading around $30.00 a barrel.
U.S. economic data due for release Monday includes the Empire State manufacturing survey.
Technically, the gold bears have the firm overall near-term technical advantage amid the steep price downdraft. Bulls’ next upside price objective is to produce a close in April futures above solid resistance at $1,550.00. Bears’ next near-term downside price objective is pushing futures prices below solid technical support at $1,400.00. First resistance is seen at $1,500.00 and then at $1,525.00. First support is seen at the overnight low of $1,456.10 and then at $1,450.00. Wyckoff’s Market Rating: 3.0
May silver futures bears have the solid overall near-term technical advantage amid an extreme price downdraft. Silver bulls’ next upside price objective is closing prices above solid technical resistance at $14.00 an ounce. The next downside price breakout objective for the bears is closing prices below solid support at $11.00. First resistance is seen at $13.00 and then at $13.50. Next support is seen at today’s low of $11.77 and then at $11.50. Wyckoff’s Market Rating: 1.0.
No Fu.king way!!! Do not listen to these people.
I know right! LOL
LMAO!
Exactly!
I’d be watching and buying if I could.
Remember, there’s a hell of a lot more paper silver. 😉
yes and as people realize they should have the metals in hand, the dealers must be scrambling
I constantly have to explain derivatives to people
‘a bird in the hand is worth two in the bush’
Earl Grey
March 16, 2020 at 11:58 am
“It’s not about the VIRUS! It’s about convincing the public that they need to be locked down with law enforcement and the national guard on the streets. When we are locked in place with the cops watching us they will 100% crash the economy and your pensions, stocks, and savings will be GONE!!!”
This comment lines right up with this article.
It going to happen fast too.
yup…..I sent greg’s latest to ND gov …tomorrow I demand to speak with him…
I started Greg’s post market wrap up but haven’t listened to all yet. I’m gonna do that right now.
The hook nosed kikenstiens want gold to crash so they can scare idiots to sell their gold and then they will buy it all. To hell with them. I’ve got 200k ear marked for gold and silver!
What a F’n joke – Silver spot is down to $12.48, and yet silver dealers (thieves) are asking $25.00 for 2020 US Silver Eagles. $22.00 for Canadian Maple Leaf, and $20.00 for asst Silver Rounds. From 75% to 100% mark-up. BUT, if you wanted to sell your Silver, they would only be paying you around $9.00 per ounce (I called a few places and asked). Only a complete fool would buy or sell Silver right now.
Remember.
Silver and gold pricing is based on FRAUD.
It’s always a good time to buy silver if one can afford to do so.
Buy Buy Buy…….!!!!!!
Man I wish I had some extra cash …..
I’d be stockpiling…..
Someones calling in the fake fraud paper silver for real physical.
So if on fake fraud paper silver…. it’s 2 fake ounces to every 1 physical.
I suspect you wouldn’t want pay back physical short call silver at $25 etc….
Same for gold….
I hope they can meet the supply…..
I’d be curious to see how long it would take to deliver a large silver purchase at these prices.
Plus…..don’t forget the medicinal collodial silver use.
Make your own at these cheap prices.
I just had an idea…..
FK….. …. that hurt.
I’m going to take all this chump change in my jars…. for about a year(s) etc….
Ya know that all that sht in the car in the tray you never pick up it just kind of sits there.
Collected for a few years.
fake pennies, dimes,quarters….
Go to coinstar…..cash all them in….
go to apmex online etc….
Then buy real silver with it…..
And try not to get infected at the store.
They’re usually at the front anyway…..
Preferably not at Wal-Mart.