Housekeeping: Good Morning.
“The Gold reset is a process, not an event”
Today:
Discussion:
1- Hartnett: Buy Gold [?]
[W]e say allocators heading into Q1’25 should …buy Treasuries, buy International stocks, buy gold…
Continues in Founders Early Look
2- RBC Commodity Comments: The Road Ahead
After hitting an all-time high and then falling substantially as the election wiped out uncertainty (and the dollar and rates moved notably), we are actually quite comfortable… We view this as a cleaner base to gain from.
Continues at bottom
News/Analysis:
Equity Recap:
US equities retreated on Thursday after Fed Chair Powell said the FOMC is not in a hurry to cut rates given a still strong economy. Large caps bested small caps: S&P 500 (-0.60%) vs. Russell 2000 (-1.37%). MSCI Emerging Markets (EEM) lost 0.56% and MSCI EAFE (EFA) gained 0.21%.
Market News:
"Federal Reserve Chair Jerome Powell said recent signs of economic health would allow the central bank to take its time in deciding how quickly to continue reducing interest rates. WSJ
"The Federal Trade Commission is preparing to launch an investigation into anti-competitive practices at Microsoft’s cloud computing business FT
"US automaker stocks fell after Reuters reported President-elect Donald Trump plans to eliminate a key consumer tax credit aimed at boosting electric-vehicle adoption. Bloomberg
"Disney offered a bullish earnings outlook for the coming years and its streaming business showed healthy growth in both profits and new customers, signs that the company’s shift away from its rapidly-declining TV business is gaining momentum. WSJ
"Amazon One Medical is expanding its telehealth services with the launch of upfront and low-cost treatment plans and medication delivery for several beauty and lifestyle concerns. TechCrunch
"Wholesale prices nudged higher in October, though largely in line with expectations and mostly consistent with the Federal Reserve cutting interest rates again in December..: CNBC
"Meta has been fined nearly €800mn by Brussels after regulators accused Facebook’s parent company of stifling competition by “tying” its free Marketplace services with the social network. FT
Politics/Geopolitics:
The Senior Advisor to Iran's Khamenei says "we support any ceasefire decision taken by the Lebanese government and resistance".
Israeli source says Hezbollah's response to the American outline is expected "within days", according to Kann News.
Iran provided written assurances to the US administration in October that it was not seeking to kill Presidential contender Trump, via WSJ citing a US official; assurances which were intended to cool tensions between the US and Iran.
Iran is preparing for Operation Sincere Promise 3 to respond to the Israeli attack, according to Sky News Arabia citing a Member of the Expediency in Iran.
Israeli army issues new warnings to evacuate buildings in Burj al-Barajneh and Ghobeiry in the southern suburb of Beirut, according to Sky News Arabia.
Israeli forces push deeper into Lebanon in a widening war campaign, while the expanding ground operation risks protracted conflict but could build leverage for ceasefire talks, according to WSJ.
Hezbollah said it targeted a military base in Israel's Tel Aviv and targeted a gathering of Israeli enemy forces in the Kiryat Shmona settlement with a barrage of rockets, according to Sky News Arabia.
Elon Musk and Iran's ambassador reportedly discussed how to ease US and Iran tensions, according to NYT. Iran's ambassador told Musk during the meeting on Monday that sanctions waivers should be obtained from the Treasury Department, while Iranian sources said the meeting was positive, according to Al Arabiya.
US President-elect Trump said they will avoid what happened before with their military in Afghanistan and will deal with the situation in Ukraine better, as well as work to reach a solution to the crisis.
US President Biden administration official said the US must be prepared to expand its nuclear weapons force, while the decision on expanding US nuclear force will be left to President-elect Trump, according to WSJ.
US and UK brought into force an amendment to the 1958 agreement between the two countries for cooperation in the uses of atomic energy in defence which will make the agreement enduring in its entirety, according to the US State Department.
North Korean leader Kim guided a test of attack drones and ordered the mass production of suicide drones.
Taiwan President Lai is planning to stop in Hawaii and maybe Guam during a visit to Pacific allies in the coming weeks, according to sources cited by Reuters.
China's Coast Guard said with China’s permission, the Philippines sent a civilian ship to transport supplies to its 'illegally' beached warship at the Second Thomas Shoal.
The US plans additional sanctions to restrict Russia's energy trade, plans to prohibit banks from dealing with Gazprombank, according to Nikkei.
Data on Deck: CPI/PPI
MONDAY, NOV. 11 Veteran's Day holiday, bond market closed
TUESDAY, NOV. 12 NFIB optimism
WEDNESDAY, NOV. 13 Consumer price index
THURSDAY, NOV. 14 PPI year over year
FRIDAY, NOV. 15 Retail sales minus autos
***FINAL MARKET CHECK***
BONUS: Is China Pricing Influencing Comex Silver? (Yes it is)
CME lowers margin rates on the Silver Futures contract by 8%- Via Bob Coleman
