It's a new month and it's finally March. Could our long precious metal winter finally be drawing to a close? We'll find out as the month progresses but we kick things off this week with an action-packed schedule and a Friday date with your latest BLSBS.
Unfortunately, the new month has begun where the last month left off. After a nice rally last evening on Globex and in Asia, bonds rolled over as soon as the London trade began and it was straight back downhill from there. I'd been hoping for a better start to the month than this and there's still plenty of day left, but this is a little disappointing.
Comex Digital Silver continues to outperform Comex Digital Gold and it's having a much better day today...especially when you consider that the POSX is up about 15¢ as I type. After the pounding we took late last week, we'll need to rebuild from here based off of continued strong physical demand. The first step is to get back above $27 and then hold and base there. This is a positive first step.
For this week, the list of pending datapoints and Goon appearances is below:
The main items for today have just come out while I've been typing and they are quite interesting. The Markit and ISM manufacturing PMIs have been picking up as the US comes off of Covid lockdowns and now today they are beginning to show that big surge of inflation that everyone has been talking about ...and that has been driving the bond market lower and lower. Here's that "Cost-Push" inflation I've been telling you about for months...https://www.zerohedge.com/economics/manufacturing-surveys-signal-stagfla...
ISM Prices going apeshit: 86.0 - this is runaway inflation— zerohedge (@zerohedge) March 1, 2021
last time ISM prices were here oil was $140 pic.twitter.com/r4ctiwkxUp— zerohedge (@zerohedge) March 1, 2021
So what else is going on? Not much, really. Until we begin to get some inklings from The Fed Goons that the FOMC meeting in two weeks may bring some hints at change, it's going to be hard for Comex gold to catch a sustained bid. As you just saw, even the oversold bounce of last evening was quickly driven straight backward.
Thus we'll keep our focus, for now, on Comex silver and the silver miners. As mentioned above, there doesn't seem to be any wavering of interest in physical accumulation and in keeping the pressure on The Banks. We'll take all the help we can get from a falling POSX and some lower nominal interest rates, but that physical demand must continue otherwise The Criminals will simply have their way and force price lower.
hmmm....not many 1k or 100 ounce #silver bars left at #APMEX@yarrs @MilesFranklinCo @WallStreetSLVR @ASchectman @TFMetals @SBTVSingapore @BullionStar @RealDavidJensen @thegreeks5 @goldsilver_pros @goldseek @mikesay98 @Galactic_Trader @Beyond_Mystic @clif_high @RoadtoRoota pic.twitter.com/PfAwIHk942— If you want #silver, GET IT NOW! (@ArcadiaEconomic) March 1, 2021
As far as that tweet above from Chris Marcus, I'm still planning to visit APMEX/OneGold on Thursday of this week. I look forward to discussing things in person with Ken Lewis and the rest of his staff and it will be fun to see for myself just how stretched their inventory is at present.
In the meantime, we just keep going. I personally added another 2 ounces of gold and 200 ounces of silver last month and we all need to keep doing our part. If The Criminals keep bifurcating price by driving digital silver lower at $27 while physical silver remains $32-38, the digital price will eventually be forced higher.
As I close, I see there's some good news....the bond market has actually RALLIED since those inflationary PMI reports and the yield on the 10-year note is less than one basis point higher than it was at 1:00 am CT when CDG was at its HOD near $1757. So maybe we can rally the rest of the morning?
Have a great day but please be sure to check back later for your full daily podcast summary.