🇰🇷 owns 104.4 tonnes of gold which is 104.4 tonnes more than 🇨🇦 🇨🇦 rank 4th in world in proven gold reserves. Central banks around the world buying gold and silver with both hands. https://t.co/rT75twXgtO

We enter today following new Nasdaq highs although sure doesn’t feel like a for roaring bull does it? Maybe because only 23% of all stocks trade above their 40 day moving average S&P futures muted despite more relief in WTI -2% to $93.50 Gold and silver grinding lower Once again mega growth names doing heavy lifting driven likely by passive flows but $XLK $XLC most overbought sectors while consumer discretionary and industrials tell a different story $XLY $XLI Many wondering why market isn’t rallying harder given relief in commodity inputs, might want to take a peak at economic tells like $TJX $GE $SBUX $MCD $COST all at or near multi-month lows. Feel like market running on fumes here but wouldn’t be surprised to see a ripper heading into mid-terms. That said don’t feel current set-up is supportive.

Neumie we’ve been back and forth about how the industrials and consumer discretionary names gave up the ghost immediately after going up in a straight line, especially the industrials. Look at some of these industrials $GNRC $GE straight down relentlessly on massive volume. Oversold? You betcha. Would I buy them for anything more than a 50%% retracement? No way. Do I hink highs are in for the year? Yup. Am I surprised the VIX is still a teenager? Yup. Bought insurance two weeks ago against my longs to lock in gains for the year. On a somewhat unrelated but still related to the big sea of liquidity discussion, guess who is coming to town for lavish lunches and dinners? None other than KKR BAM BX crew looking to tell us retail muppets about what a great diversifier PE wouild be for our clients’ portfolios, (especially at this point of the cycle 😉) Never mind that when the getting’ was good& money was free, the house wouldn’t let retail near PE. But now they are an “Alt Diversifier” and peddled to the mass affluent who will be left holding the bag. All of the above plus the bondeleros have given Warsh his marching papers. means business until things start to break and then it will be back to easy money and balloon the balance sheet. In the interim, Warsh can see what we all can see. USD best house in the ghetto for now. Liquidity out of control as evidence by retail options volumes, “real inflation” on top of an already 40% incineration of purchasing power that we both know is smashing the “lower K” putting dreams on hold and sending housing/family formation tumbling. Some crazy vicious cycle driven by aftermath of 15 years of free money and horrific economic and fiscal policy On a personal level, stopped out of my silver and gold etfs today. $PHYS $PSLV which I use as tactical trading vehicles quickly moving my gold and silver exposure +/- 10%. Still long $WPM $FNV and underweight after selling 1/3 last week. Too early to buy for sure. Continue to systematically stack physical gold and silver but will be buying my lowest unit amount. Gold and silver look vulnerable here and if the bond market doesn’t cooperate we might get 50 next time. Sometimes it feels like we are smack dab in the middle of a Warren Zevon song. Miss him more every day.

Gold producers just flipped red. Gold and silver still positive on day but off highs.

NA markets looking soft this AM w/ $SPY futures trading near premarket lows -55bps 10 year yield out to highs for year yesterday and printed new high this AM at 4.92% Dollar index +0.3% Gold -1.7% Silver -5.8% 👀 WTI +4.5% 👀 Continue to watch consumer discretionary and industrial names for any semblance of a bottom or stealth buying. Both groups enter today extreme oversold. Here are a few tells which are max oversold names I am watching for signs of bottoming $COST $HD $GNRC Despite weakness portfolio protection still pretty cheap with VIX in teens