06112021 :: Friday finance

A partial digest

Philip Valenta, MSF


Which market didn’t seem to care about the big bad “inflation” wolf? US Treasuries. Yields have been falling as if because of the latest CPI data, 5% YoY.

In turn, the NASDAQ and similar gained for the week ending June 11, while gold fell. It is possible that, (gasp!), the Fed might be taken seriously after all regarding the assessment that high inflation figures will be fleeting.

Quick read for the week ending June 11:

  • Yields fell for most of the week and finished considerably down.
  • The DXY gained to close things out.
  • Oil continued to rise.
CALL: No change; near to semi-intermediate term, prices could rise further given supply shocks, OPEC+ micromanagement, inflation expectations, "recovery," and more fiscal spending, among other things. Longer term, it's a dying industry.[tracking: XLE, GGN]
  • The S&P Global Clean Energy index finished slightly up.
  • Gold ended up mostly flat to slightly down.
CALL: In the very near term, it must be acknowledged that gold has the uncertain potential to rise further as traders who call the competence of the Fed and US Treasury into question drive prices higher. Beyond the very near