The gold volatility index moved to a new all-time low and there was no meaningful action in gold recently. Well, we profited on the decline and on the following upswing, but the price action that we saw was nothing to call home about. For months, gold has been moving around the $1,300 per ounce level and it’s trading relatively close to it also today. But, will this action persist for much longer? Not likely. It seems that something is about to hit the fan.
Yesterday was all about commodities; and the S&P 500 posted its lowest volume since the day after Thanksgiving. The major catalyst was crude oil, achieving $60 per barrel and trading to the highest level since June 25, 2015.
I told you Bitcoin was a bubble. The biggest beneficiary is the precious metals and I had a hunch when I saw the calculations for the turn in the metals the cryptos were hijacking some of the shine normally bestowed to the metals.