Craig Hemke, Founder and Editor of TF Metals Report, joins us to break down market reactions to some of the recent “better-than-expected” macroeconomic data points, and how this has continually moved the target of the Fed policy expectations. We take into account that there has been recent strength in the general US equities and improving market breadth, due to more speculative interest pouring into the markets on the “soft landing” narrative. This has been a distraction away from investor interest in safe havens, as we’ve seen gold, silver, and the precious metals mining stocks continue to correct lower.
Craig goes on to remind listeners that we’ve seen this pattern of excessive jubilation before in general equities and the cryptos when investors believe the all-clear signal has been given; only to see the trends reverse sharply when the next economic dislocation presents itself. We discuss the ongoing number of instances where the Fed’s messaging, seen as omnipotent by mainstream financial media outlets, often is 180 degrees off-base in just a short time afterwards, where things end up developing in exactly the opposite way. Craig is watching to see where the PCE inflation data comes in tomorrow, and more importantly, where the jobs report numbers come in next Friday.
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