Clearly there is an effort to give Bernanke some slack...by bashing gold and boosting the dollar before he testifies before Congress... Even if the bond did fall hard...
Any short term manipluation of the market by the FED and it's shills will only cause more trouble later.
The fact is that the US dollar is structurally weak...over extended by various bubbles...and now by the huge geopolitical risks caused by Israel in the middle east.
GOLD AND OIL ARE UNDERPRICED NOW...AND WALL STREET IS RUNNING OUT OF TRICKS TO MAKE IT THROUGH THE TRADING DAY...
Give the underlying macroeconomic situation...stocks should be plunging...
But saddly, like in the middle east, the US constructs its own "reality." And for now that's good enough....
BUT THE MARKETS, LIKE THE ISRAELI ATTACK ON LEBANON...WILL HAVE A "MORNING AFTER." EVERY ACTION HAS A REACTION.
WE AIN'T THERE YET...BUT IT'S COMING...
IF IT'S A MATTER OF SHORT TERM SPIN...OR LONG TERM LOGIC...I'LL GO WITH THE LOGICAL EXPLANATION...
