Yellen Delivers Expected Rate Hike Pep Talk; Gold Attacked But Bounces Back – Eric Dubin
Market managers managed to yank an additional $9 out of gold off of this week’s low. As I wrote yesterday, this is going to be short-lived. The Fed’s interest rate normalization playbook is now well understood.
TND Market Brief: Eric Dubin
If nothing elese, Janet Yellen is consistent and predicable. Her Congressional testimony offered no surprises, and the guardians of all things fiat came out and used her testimony as an excuse to attack gold. Yesterday, I warned:
“So far, the bottom has held but Thursday and Friday are key and Fed Chair Yellen is speaking before Congress on Thursday. December will see a 25 basis point Fed Funds rate hike, and this is already priced into the precious metals market but that doesn’t mean the market will not be attacked on Thursday! If we get an attack timed in association with Yellen’s Congressional testimony, it should be short-lived.” (link)
Sure enough, the cartel stuck gold:
— Bloomberg (@business) November 17, 2016