This is not what fears of a recession looks like. And, no, gold does not go up during a recession (SEE: The Myth That Gold Is a Great Performer During A Recession).
-RW
Wednesday, March 16, 2016
GREEN
Following the monetary policy statement released by the Federal Reserve today, markets featured on the MarketWatch front page, all turned green. Gold was up over $30:00 an ounce in electronic trading at 4:00 PM ET. Oil was up 5.86%:
This is not what fears of a recession looks like. And, no, gold does not go up during a recession (SEE: The Myth That Gold Is a Great Performer During A Recession).
-RW
This is not what fears of a recession looks like. And, no, gold does not go up during a recession (SEE: The Myth That Gold Is a Great Performer During A Recession).
-RW
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RW, I don't understand the point your are trying to make. The Fed left rates unchanged precisely because all is not well economically. Stocks have been bid up by corporate buybacks and hope for more QE, not on expectations of higher earnings.
ReplyDelete"All" is never well in the economy. There's always bad news. They did not raise rates because inflation is below their target and there is room for improvement in the labor market. They were however quite positive about the economy. http://www.federalreserve.gov/newsevents/press/monetary/20160316a.htm
DeleteYeah, accexcept in 07-09 no one was predicting negative interest rates. Austrian-lites changing the subject and moving the goal posts gets real old. The forecast was that the Fed would have to reverse the December rate hike immediately. Hasn't happened through 2 FOMC meetings. Won't happen.
ReplyDeleteGreat, comment again when the Fed puts rates negative.
ReplyDeleteIf the Fed raised and stocks tanked, would you have posted about being correct on the rate hike?
ReplyDeleteI still think it's like a life raft with a bunch of holes in it. The Fed is just blowing air in to keep it up. I don't see the boom.
ReplyDelete