James Turk summery: Anyway you look at it, last week was a very positive one for the precious metals. The big news is the upside breakout above 3.5% in the yield of 10-year T-notes. With rising commodity prices across the board, people around the world are increasingly recognizing that inflation is getting worse. Higher T-note and T-bond yields are just more evidence.
Even if pullbacks happen, they should be temporary. Long silver, gold, grains, hydrocarbons, stocks; short debt.
Raymond Merriman: There is just no stopping this “Asset Inflation Express” in stocks. As stated so many times in this column over the past year, as well as both the Forecast 2010 and 2011 books, the Jupiter and Uranus transit into Aries is likely to bullish for stocks into the middle of this year… But now the geocosmic picture begins to change… The implication is that a correction will begin, or at least the market will likely pause in its upswing during this period.
A) + The inverted Put Call Ratio is neutral.
B) ± The daily Summation ratio ratio is rising again and overbought, like usual.
C) + The weekly Summation ratio is rising again.
D) + The NYSE Bullish percent is rising again.
VRTU MOS TRS O WCRX
Bonds, debt, on pullbacks. If I must short, it won’t be individual stocks, just the S&P 500.