Why are Silver and Gold Up today? and Goldman's Fed Day Prep

Market Rundown

Nov 01, 2022

∙ Paid

Market Rundown
Why Silver is up 4%
Goldman’s Fed Day Prep

Good morning:

The dollar is down 60 points. Bonds are firmer somewhat. Stocks are up 90 and 150 bps. Gold is up $20. Silver is up 85 cents. Crude oil is up $2.00 and Nat Gas is down 38 cents. Crypto is mixed as are Grains with Soy up 1.7%

Why Silver and Gold are up

Silver is up 4.3% as we write this. No doubt the core cause is extreme nervousness on the part of Silver shorts given the relentless physical demand that is beginning to overwhelm the futures markets. Try not to get your hopes up for an earth shattering rally just yet. but, know this is a mini version of how it happens when it finally does. And the drivers that will accelerate the moves are moving into place.

Fundamentals

That is the main and fundamental reason (the one physical buyers have been patiently waiting on) for metals going up for the next 5 years as global markets reset monetary standards. But there are other important reasons for today’s and other recent moves tied to important factors.

Try not to get your hopes up for an earth shattering rally just yet. but, know this is a mini version of how it happens when it finally does. And the drivers that will accelerate the moves are moving into place.

So what are the “other” reasons for the Silver move today, aside from the fact that there is no Comex Silver available for the public?

Three Emerging Factors

The rally is in part a manifestation of the weakest and most vulnerable players in the market, the CTA and momentum fund shorts, covering in front of the Fed announcement tomorrow. There is always squaring up of some positions by nervous players before these events. But what is different this time of year involves 3 factors.

Categorically they are: