Today's FOMC Fedlines are a non-event. So now we turn to tomorrow.
Thursday brings some news from the ECB. Won't that be fun? Perhaps a reason for the paper jockeys to jam prices lower again? More likely, prices rebound tomorrow as today's shorts are squeezed back out. Then we do this same dance over again on Friday. We'll see.
For now, here's the FOMC statement from the ZH scribd page:
Moving on, my thoughts on the day were summarized in this comment to the previous thread. Rather than re-type, how about a simple C&P:
"All you need to know is this: Nearly every important Eastern and Asian buyers market was closed today for May Day. Just like we've seen in the past, absent physical purchasers, the Spec HFTs and Cartel monkeys play freely to kill paper price. Today is no different.
The only real stories today are these:
My enthusiasm for typing a new thread is low because I simply don't care what these baboons are doing to paper price. I don't. Gold (and silver) is being sold off because the global economic weakness is prompting paper traders to sell all commodities. And gold is a commodity? Not to me!! And screw the FOMC minutes. Nothing but worthless SPIN and MOPE. We all know by now that QE can't and won't end. EVER! Ending QE would collapse everything. Not going to happen.
Paper trading is completely disconnected from economic reality. Today's paper action deserves nothing but a cursory glance and shoulder shrug."
The only other interesting item at this time in the open interest and CoT survey. For the Wednesday to Tuesday reporting week, gold surged over $62 in price and its OI climbed by 6,000 contracts. Silver, however, was dealing with May contract expiration so, while it also surged forward by $1.36, its OI fell by about 15,500! This sets up another very interesting CoT report this week. Who, in silver, was buying/covering and closing May positions? Was it the Specs? Was it the Comms? How much by category? A very interesting CoT this week, indeed.
But the CoT is still 49 hours away. Before then, we're going to have all kinds of price volatility, likely enough to make us not even want to see the CoT as we'll all be ready for the weekend. Hang in there, keep the faith and let's see what tomorrow brings.