In this report I cover the early market action from London on Friday, June 15th, 2018. I look briefly the the precious metals prices, the stock market and the dollar.
I also look closely to what happened in the currecny markets yesterday after the ECB meeting where ECB President Mario Draghi indicated that interest rates would remain negative for at least another year. Even though the ECB also announced they were tapering and ending QE by the end of 2018 the euro took a big hit versus the dollar and so did the British pound.
I note that despite the big move higher in the dollar index from 93.25 to just below 95.00 gold and silver finished well up on the day even against the dollar. I look at the charts of the precious metals in euro and sterling to show how the sector seems ready for take off.
My conclusion is that the Central Bankers' decade of unconventional monetary policy is starting to show how much of a big failure it has been and that the only thing that we are getting from it is an ever increasing mountain of debts.
