Gold Pops, Dollar Drops As Rate-Hike-Odds Slide After Fed Minutes

Tyler Durden's picture

Fed rate-hike odds for December are lower after the Minutes (down from around 80% to 73%) as Fed officials' concerns about non-transitory low inflation sparked a dovish drop in the dollar and pop in precious metals...

As a reminder, since the end of Golden Week, the post-FOMC trends have reversed...

 

And today's Minutes are extending them...

 

As the dollar index continues to trend lower...

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NoDebt's picture

What?  CNBC says a December rate hike is a lock.  How could this be?

 

 

Buckaroo Banzai's picture

Rates are going UP! We swear! Real Soon Now!

Mr. Universe's picture

Gold Pops? WTF. I'm tired of this ZH headline BS. Poops is more like it. 

 

SoilMyselfRotten's picture

it did pop, all the way back to flat, lol

Golden Breakout's picture

Kimbo just needs to launch some rockets, and gold she gonna go moonto.

The_Juggernaut's picture

No no no.  I can tell that this is clearly bullshit because I've seen on ZH every day for years that the stock market is going to crash.

Justin Case's picture

mortgage the house and go balls in!

Cash2Riches's picture

Gold and silver are set to renew their shine. They are going to boom. This is QE to infinity, all that the FED can do now is print money, they are out of bullets.

ReturnOfDaMac's picture

What a maroon!  The FED has unlimited FRN bullets.  They will print infinite quantities of paper from thin air, you will accept it for your hardest work, your goods and your services. And you WILL like it.  The few real traders and especially the great algo's know it, thats why stocks only.go.up.  Rocks make good jewelry, temporary emergency funds, and exceptional paperweights.  But to get rich, you have to BTFD.  Sell rocks buy stocks.

Justin Case's picture

They'll have to print to buy their own bonds by proxy banks like last time through Belgium. Or the FED will monetize the bonds with their balance sheet. There is absolutely nothing to worry about. Lots of countries do that and it always works/sarc

grasha87's picture

I have created a currency that is neither deflationary nor inflationary, and is based on Say's Law. It helps alleviate unemployment and falling incomes during recessions and is based on the free market:

 

https://bunky1787.wordpress.com/2017/09/06/the-wallark-neo-scrip/

HRClinton's picture

ZH IBID: "Gold pops a galactic $20, in a CB manipulation sort of way. Not in a Crypto sort of decentralized way".

p.s. A dirty little secret that you just won't hear on ZH: I know of one CFP who likes to get clients to "invest in gold". Only thing is, he makes much bigger margins by using their cash to speculate on BTC.

Not illegal, but unethical as hell, and how Buffet started (by own admission).

Moral: even those who come "in the name of gold" are anything but 'golden'. Scammed everywhere, especially where simple, good people can be had with sweet whispers of gold. 

Bill of Rights's picture

Gold did not pop it dripped into the minutes only to pop back to where it remained all day for a nether gain...

 

https://s3.amazonaws.com/tradingview/snapshots/m/M8r3mQz8.png

youngman's picture

If thats popping.....I am bored

Ron_Mexico's picture

yah, maybe a buck fifty was a "pop," in 1932.

dark fiber's picture

I have noticed a very consistent pattern in gold.  It reverses the moment the Fed minutes are released.  If it is going up, it will drop.  If it is going down it will spike.  Regular as clockwork.

jsgibson's picture

I have noticed a pattern in gold too.  An.ounce of it 50 years ago is still an ounce today.  A dollar is also still a dollar, but it now has the purchasing power of a few pennies.

Consuelo's picture

+1  

 

Comment of the day.   Scratch that, a billboard-worthy keeper.

 

 

Justin Case's picture

Historically, people have understood money’s intrinsic value when they have been forced to, when alternative monies have been rendered unfit for purpose by persistent debasement. Negative real returns to cash, the inflation in various equity and credit markets, and investors’ “reaching for yield” suggest money’s transition from usable to unusable is already underway, if in a subtle and small way (for now). And if debasement to date has not dented debt ratios even slightly, the debasement of tomorrow will. Today, we see the intrinsic value of gold. And although we can’t know when, we think others will soon be forced to too.

grasha87's picture

I have created a currency that is neither deflationary nor inflationary, and is based on Say's Law. It helps alleviate unemployment and falling incomes during recessions and is based on the free market:

 

https://bunky1787.wordpress.com/2017/09/06/the-wallark-neo-scrip/

HRClinton's picture

Manipulated, yes, but at least it's predictable.

Unlike damn decentralized crypto. All over the place. Who needs this nerve-wracking Price Discovery crap, when gold is a "solid" buy?

;-)

Sorry, I could not resist. I'm not poking fun at PM -- of which I have some stacked. Just having fun with some gold shills, who remind me of car or RE salesmen, with their BS lines -- who are conning honest, hard-working people of what little DI (Disposable Income) they have.

Montana Cowboy's picture

It pops. It drops. Making headlines out of mere market noise.

yogibear's picture

Got the message Federal Reserve money masters. No rate hike in December.

Snaffew's picture

this market never goes down...never.  A three day drop would be unprecedented in today's financial quagmire.

In.Sip.ient's picture

Meanwhile US$ 4,856 for 1BtC as we speak...

 

I'm not sure just how stupid the CBs really are,

but I got a feeling we're going to find out.

 

Clowns on Acid's picture

No mention of reverse QE? I guess that is just somehting the Fed ignores now. "Don't worry we have a handle on it...leaking back into the market".... as they monetize by retirirng the debt....whether it has matured or not.

 

Golden Breakout's picture

Thank you Yellen, you silly cunt.

grasha87's picture

I have created a currency that is neither deflationary nor inflationary, and is based on Say's Law. It helps alleviate unemployment and falling incomes during recessions and is based on the free market:

 

https://bunky1787.wordpress.com/2017/09/06/the-wallark-neo-scrip/

Consuelo's picture

 

 

Bitcoin at $5k?   No problem.

 

Gold at $5k?  A dead cat's liver for dinner in a 40 degree abandoned shopping mall.

 

There is a reason real money is being kept in a very tight range.

 

 

 

 

CJgipper's picture

Options make the supply of gold unlimited.  That's how it's being manipulated.  

 

There areally no botching options.  It's not that complicated.

raeb's picture

Don't ignore counter party risk.

Steaming_Pile's picture

I love how we as Americans allow one person's mouth to dictate the value of our currency.  That really speaks volumes about how absolutely fucked we are.

adolphz's picture

You really believe that dont you.., keep believing that. 

adolphz's picture

You really believe that dont you.., keep believing that. 

adolphz's picture

How does SHEPWAVE know what stocks and gold are going to do every day. I am positioned for next big move. I am thinking it will happen at tomorrow's open in Hang Seng and gold markets.

Sid Davis's picture

In my view cyclical patterns are the driving force, and the FED and external events are just triggers to push what already is in progress:

Here what the combination of over 100 oscillations identified in the historic data will make the future for gold look like:

[img]https://i.imgur.com/kw64JoJ.png[/img]

The oscillations are derived from the actual data through Oct. 5, 2017 so obviously both lines match fairly closely up to that point. The future should resemble the projected line, but certainly won't be a perfect match.

grasha87's picture

I have created a currency that is neither deflationary nor inflationary, and is based on Say's Law. It helps alleviate unemployment and falling incomes during recessions and is based on the free market:

 

https://bunky1787.wordpress.com/2017/09/06/the-wallark-neo-scrip/