Daily Close | Forex, Metals, Oil, Agriculture February 04, 2021



Traders do expect China be back on the dance floor buying U.S. corn and soybeans soon as they were busy with purchases last week. In the overnight electronic session, the March corn is currently trading at 556 ½ which is 4 ½ cents higher.


Even coming into the New Year, the US Dollar carried bullish potential as shown by a falling wedge pattern. less It’s been a busy week in the US Dollar as the bullish reversal continues to take-hold. But – for the US Dollar, price action has been long and strong, with prices bursting up to a fresh two-month-high.


The popular Vaneck Vectors Gold Trust ETF (GDX) is falling by 2.98% indicating weakness in the entire gold mining sector. This includes inflation-linked bonds and gold, which we believe provides a good store of value over the long term with a low correlation to traditional risk assets. Having been at the financial markets when the Great Recession arrived, she experienced many bull and bear markets – be it in stocks, bonds, gold and silver. Gold closed below this line for the second day yesterday and given today’s decline, it seems that it’s going to close below it for the third consecutive day.
When the interest rates go up, the yellow metal falls, and when the rates go down, gold rallies. The decline in the real interest rates is the most important downside risk for gold. The rise in inflation is the most significant upside risk for gold this year, but there are also a few important downside risks. Not coincidentally, gold was experiencing a bull market during this period, reaching its record high of almost $2010, just when the rates bottomed.
less This morning, the leading gold mining stocks are selling off with the precious metals. Radomski is the author of Sunshine Profits’ Gold & Silver Trading Alerts and many of company’s investment tools. Theoretically, it’s possible that gold slides to $1,700 shortly and reverses there, but we wouldn’t bet the farm on this happening this or the next week. While silver stole the spotlight recently, I’ve been emphasizing the importance of what’s happening in the USD Index and gold.
Namely, gold moved lower once again in today’s pre-market trading and it’s currently testing its 2021 lows. This gold mining stock has the strongest relative strength in the industry group. Gold paused yesterday, and of course, still doesn‘t look ready to rebound. The digital gold and store-of-value narratives are gaining wider adoption which is a great sign for BTC’s long-term valuation. Arkadiusz is the author of the monthly Market Overview reports and Gold Monitor News at Sunshine Profits.
(We discuss gold valuations in this recent blog post.)


On the Crude Oil front, prices continue to trend higher after OPEC+ alliance of major producers kept reduced output policy at a meeting on Wednesday. The EIA also showed crude oil stockpiles in the U.S. fell to the lowest level since March of last year.

United States

Indeed, the real interest rates peaked in November 2018 at 1.17 percent, just one month before the last hike in the Fed’s last tightening cycle. Analysts in the media continue to discuss the “strong” gains claimed by the market in 2021, using the familiar yardsticks of the S&P 500, Nasdaq Composite, and others. His market analysis can also be read in most major financial publications, including the Wall Street Journal. In 2019, they were falling amid the economic slowdown and the dovish Fed cutting the interest rates.
There will be immense pressure on the Fed to cut back on monetary stimulus at exactly the wrong time: the cyclical peak of economic growth. Meanwhile, is one of the worst-performing stocks on the Nasdaq today, after the biotech name announced a $100 million registered direct offering of its common stock. All this will occur at the same time the market will be worrying about front-running the Fed’s exit from record manipulation of bond and stock prices.
Today’s screen showed yet another rally in the broad market indices, with the S&P 500 (SPX) outperforming the Nasdaq 100 (NDX).
Research from our team of in-house analysts has been quoted by The Wall Street Journal, Bloomberg, MarketWatch, USA Today, Kitco, Reuters, US News & World Report, CNBC, and more. He has been quoted in a variety of financial news publications, such as CNBC, the Wall Street Journal, and the New York Post. One of the best stocks on the Nasdaq today is China-based testing services concern . Bert Dohmen’s analysis often goes totally contrary to accepted “Wall Street wisdom.” He is the original Fed Watcher.
Additionally, Michael has worked at an investment advisory firm where he helped create ETFs and UITs that were sold throughout Wall Street. Wall Street analysts, on average, have a Strong Buy rating on Plug Power shares. Wall Street didn’t declare the bear market until June 2008. He considers Fed policy the most important fundamental factor. Bert Dohmen has been called “a leading Fed Watcher” by the Wall Street Journal.