Gold: Ready To Rumble!

How Central Banks Murder Markets

Gold last traded at $1,774 an ounce. Silver at $26.04 an ounce.

NEWS SUMMARY: Precious metal prices traded steady Thursday on mixed economic data and a firmer dollar. U.S. stocks traded mixed as investors gear up for the second half of 2021.

eeking Alpha--"Most of the fundamentals have changed, even before the Fed's announcement about raising interest rates. Just the possibility of interest rates going up causes extreme volatility. It is a sign of the leverage that is in the market; which is at record levels. It's a precarious situation for the monetary system globally. It has never been in this situation.

We have never had such debt levels. If interest rates rise, it would increase the payments on such debt astronomically. Even just talking about possibly raising interest rates led to extreme volatility. The market cannot handle an increase in interest rates....

The sentiment now is focused on inflation. Although we are seeing the reaction of people coming back into the economy, we are seeing supply chain bottlenecks and disruption. Prices are rising. More money is chasing fewer goods, so prices rise; such as in real estate....

If gold prices close above $1782, it will set up a bullish trend momentum...the targets above of $1791 and $1800 are activated. The next levels are $1797 to $1800....Silver is showing a lot more strength than the gold market. Silver has activated a bullish price momentum with a target of $26.43."