XJO 0.70% 6,814.2 s&p/asx 200

Teddy bears picnic

  1. 753 Posts.
    Now that the US bond rates have revisted their 1998 (Russian and Long term capital hedge fund), 2001 (post 9/11) levels, they find them self resting just abobe a triple bottom.

    If they break below this triple bottom is buy-not but bye-bye to the stock market.

    The Dow, which to date outperformed the SP500, will trade below 5,000 with the SP500 below 500 and the Nasdaq below 600.

    If one considers that the Nikkei dropped below it 1987 low and has been trading consisent below this level for a while now, why can't the USofA equity markets revisit their 1987 lows?

    Now as far as gold is concerned, gold can rise but it will be tough to break the $340/oz barrier.

    In the meantime gold equities will have a tough time crawling back to the recent highs we have seen before their bubble evaporated and they dropped like a anvil from the sky.


    Arhidas
 
arrow-down-2 Created with Sketch. arrow-down-2 Created with Sketch.