Thursday, June 7, 2012

Which Market is Right? The Unemployment Plague

Which Market is Right?
So which market is correct? The stock market has rallied on hopes for more quantitative easing; while the gold market is a bit more skeptical about near term QE prospects and weakened late yesterday and is lower this morning. Oil and copper are also weak. At some point I feel Bernanke will have no choice but to err toward what Fed watchers call “accommodation,” but it is still a wait and see situation. Remember, it’s not that the world is back to business as usual, there are still plenty unresolved serious issues. Is that worth a 2.4% Dow gain that came largely in the last 15 minutes of Wednesday session? Read more here..

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