The biggest event and the most anticipated decision was the FED’s decision to do nothing. This was a major surprise and initiates a significant short covering rally. However, the Bloomberg interview with St. Louis FED President James Bullard about potential small tapering at the FOMC October meeting poured buckets of cold water on the re-awakened gold bulls. The FOMC meeting last Wednesday was supposed to be a game changer but it has only served to prolong the speculation when, not if, the FED will take the foot of the accelerator.
Saturday 21, September 2013 by Gerhard Schubert