Bill Murphy Not Giving Up on Gold, Still Thinks the Biggest Move in Market History is Coming!
by The Doc and Eric Dubin, Silver Doctors
With gold & silver enduring another massive cartel raid this week, retesting lows near $1140 and $15, GATA’s Bill Murphy joined the show discussing:
- Could we see a washout bottom on Sunday’s Globex with gold & silver plunging towards $1,000 & $12?
- Venezuela in talks to liquidate over 100 tonnes of official gold reserves to Wall Street banks- timing suspiciously correlated to latest PM take-down
- Is GATA or Bill Murphy giving up on gold?
- Why Murphy believes The biggest move in market history is coming..and why It will probably explode out of nowhere!
- Murphy explains why: “This thing IS going to blow up, and it will be spectacular!“
The SD Weekly Metals & Markets With The Doc, Eric Dubin, & GATA’s Bill Murphy is below:
It’s been a pretty lousy 2 weeks in the precious metals market. Last week’s trade was initially deflated by the Indian government’s decision to not liberalize gold import regulations. Recall that during February, speculation developed that March Indian gold imports could reach as much as 100 metric tons. Wholesale dealers that had been putting off purchases in anticipation of lower import duties were expected to open their wallets wide. Now, that demand will be more spread out over the coming weeks/months.
The shift in Indian physical purchases, combined with the rapid rise in the dollar and the last B.S. BLS employment report was the perfect set-up for the cartel to attack paper precious metals prices, busting short-term technical support and creating a whole new batch of recently bullish speculators sorry they ever knew how to spell gold and silver — never mind own any (paper).
But gold and silver did manage to regain much of their early AM rise going into Friday’s close and aftermarket trade, even with the dollar index trading above 100 again. That’s encouraging. However, next week we have to deal with Janet Yellen flapping her lips as the March 17-18FOMC meeting will include a formal press conference. The following week, we’ll start options expiration watch.
With this kind of a forward calendar, it’s hard to be optimistic. But there’s still a reasonable chance the November lows will hold even with the considerable technical damage we’ve seen in recent weeks. Regardless, modest rallies will likely be sold into for a while, and it will take time for a new catalyst to develop to reboot a sustained upward price cycle.
No doubt, the US dollar’s rapid rise has got to be making Fed policy makers nervous. The greenback’s rocket ride is going to punch S&P 500 company earnings smack in the nose. That’s the last thing the overvalued US stock market needs. But the Fed is still talking tough, and Street expectations are that our merry band of central bankers will attempt to start the “normalization” of interest rates, starting with a 25 basis point interest rate hike as early as June.