Well, that’s that. The CPI came in ice cold………
Thus, equities are rocketing higher by about 4%. The reaction was instant.
In turn, the US Dollar is in a free-fall.
And gold is ripping higher.
This obviously sucks for the bears. Short-term, we have busted the series of lower highs, and the bulls have instantly unwound any damage done by the election results and the crypto crash. We are currently trading around the same levels as last Wednesday following the FOMC announcement.
Unless we get a mirror image of October 13th (I’m not holding my breath), I’ll be in Scale Back mode once the market is open for a while. (Options bid/asks are ridiculous for a while after the opening bell, so there’s no point in even bothering until spreads tighten up).
