Sunshine Profits

In our most recent article on gold, USD and Euro Indices we wrote that the outlook for the yellow metal was bearish just as the outlook for the Euro Index and just as it was bullish for the USD Index.

At the end of October, in our essay on dollar and the general stock market we discussed the USD and S&P 500’s implications for the precious metals market.

Without a doubt, the biggest news in recent weeks has been the upcoming replacement of Fed Chairman Ben Bernanke by Janet Yellen, Vice Chair of the Board of Governors and a highly qualified economist who, many predict will continue in the Bernanke mold.

In our Wednesday’s free essay we discussed the situation in the Euro Index and mining stocks.

In our essay on gold price in November we examined the long- and the-short-term outlook for gold to check whether it confirm the indications for silver and mining stocks or not. As we wrote in the summary:

No, it can’t. We’ve read a very interesting essay on gold, VIX (the volatility index) and the safe haven status entitled Forget gold, the VIX is the new safe haven and we would like to share our thoughts about it.

In our previous essay we took a closer look at the situation in silver and mining stocks (precisely: SLV and GDX ETFs) and discussed how it may translate into the precious metals market.

In our previous commentary we discussed the implications that the most recent moves in the USD Index and the general stock market are likely to have on the precious metals market.

After 12 years of gains, gold has fallen nearly 20% this year.

On Thursday, the S&P 500 closed at a new high and its intraday record of 1733.45 broke the all-time high set Sept. 19.

On Monday, after weekend talks failed to reach a solution that would reopen the federal government and raise the federal borrowing limit by October 17, the S&P 500 Index dropped to its intraday low below 1,700.

Without a doubt, oil investors are focusing now mostly on news out of Washington, because it could have the greatest impact on crude prices this week.