FRIDAY MARKET ACTION...

INTERESTING ATTEMPT TO RE-ESTABLISH THE MASSIVE DOW UP GOLD DOWN TRADE OF THE 1ST QUARTER...

IE THE "DECEMBER ANOLMALY"...SEE CHART HERE

CLICK HERE FOR FRIDAY CHART

THIS IS A CONFLICTED TRADE BECAUSE IT ASSUMES ONE ASSET CLASS...PAPER ASSETS...CAN INFLATE OVER HARD ASSETS OVER THE LONG TERM...

THIS CAN NOT HAPPEN BUT IT IS TRIED BY WALL STREET AND SANCTIONED BY THE FED'S QE POLICY...

ADDITIONALLY IT "PROVES" THAT THE MARKET CAN RALLY WILDLY ON THE SLIGHTEST SPIN OF "GOOD NEWS"...  

IN THIS CASE THE JOBS NUMBER WAS  JUST OK.

BUT JUST OK IS APPARENTLY WORTH 200 POINTS ON THE DOW AND A 30 DOLLAR DROP IN GOLD...

WHATEVER... THIS IS A MARKET THAT WILL LIKELY GO NOWHERE IN A VERY BIG HURRY AND WITH A SLIGHTLY DOWNWARD DRIFT INTO THE END OF THE YEAR...

THERE IS NO REAL NEWS. THE ECONOMY IS A ZOMBIE AND EVERYONE KNOWS IT

ITS NOT GOING ANYWHERE...BUT IT GETS A LOT OF FREE MONEY FROM THE FED TO DO SO...IN A BIG WAY

WILL THE "DOW UP~GOLD DOWN" TRADE BE REESTABLISHED?  

IT MAKES NO DIFFERENCE.   IT'S A FED QE ANOMALY AND IT CAN'T LAST FOREVER.  

ITS A HOT MONEY TRADE NOT FOR INVESTORS...BUT WALL STREET LOVES IT AND THAT IS ALL THAT MATTERS TO BERNANKE