- currencies and metals rally on Monday
- The Fed’s credibility is Gone with the wind…
Good Day… And a Tom Terrific Tuesday to you! Well, I completely forgot about yesterday being the first full day of Autumn when penning the Pfennig in the a.m. So, welcome to Autumn… The Boys of Summer (Henley) are gone… Baseball will soon enter its playoff time… And then the teams in the playoffs will dwindle down until there are just two teams left, and the World Series! These playoff games should be quite interesting, to me, that is… Little Feat greets me this morning with their live version of the song: Dixie Chicken…
The days will be growing shorter, in terms of daylight, and the days will become crisper… time to get the firepit out and get ready for sitting out by the fire! I have one of those solo stoves, that don’t produce smoke… I love it, except that I used to really enjoy watching the middle of the fire and watching the logs burn… See? I’m strange, eh?
Well, the dollar kind of drifted lower yesterday, with the BBDXY ending the day at 1,195… That was the same level as Friday’s close, but yesterday at one point, the BBDXY was up to 1,198…. So, the conviction to get the dollar higher wasn’t there, and the dollar bugs went back to their respective holes in the wall board…
I said yesterday that if Gold & Silver were left to their own devices that we would be amazed at their performances… Well, we came very close to letting them trade on their own devices as Gold gained $62, and Silver gained 99-cents… Gold closed the day at $3,748, and get this… Silver closed at $44.12-That’s right, $44 reached in one day’s trading… I’ll say this again… Silver is on its way to $50… Anyone want to take the under bet? I’m just kidding, I don’t bet money, except a shiny quarter ever now and then…
Besides if I lost, I would have to Venmo the money to you, and finding you in Venmo would probably take me all day… Remember, I’m not even your last choice as a Tech Guy… I know enough to get me in trouble… I’m just saying…
The price of Oil remained trading with a $62 handle again yesterday, and the 10-year Treasury’s yield continues to inch higher, closing yesterday with a 4.15% yield…
In the overnight markets last night… The dollar has seen a bit of buying with the BBDXY starting today at 1,196… The currencies look healthier this morning than they have in some time, so there’s that… I don’t know who would be buying the dollar, except the Fed Heads, or Treasury, so there’s that to think about… Why would anyone with a sane mind think it to be a good idea to buy dollars, when the Fed / Cabal/ Cartel have entered a new easing period for interest rates, inflation is sticky and rising again, and the debt of the nation is unsustainable? I’m just saying…
The price of Gold is kicking tail and taking names later this morning, as it nears $3,800… Gold is up $35 to start our day today, and Silver is up 24-cents… I said yesterday that “left to their own devices these metals would amaze us with their performance”… And that’s exactly what’s been going on these last 3 trading days… Friday, Monday, and today so far…
One of the things that has helped the Gold price continue to amaze is the HUGE flows of investments into the Gold ETF… To each his own I say, but to me, you don’t really own Gold unless you can hold it… I’m just saying… The ETF for Gold is a method to own the price of Gold, you can get your physical Gold out of an ETF if you so desire, but it will be like getting a tooth pulled without Novocain! I’m just saying..
The price of Oil has bumped higher to a $63 handle this morning, and the 10-year saw some trimming of its yield to 4.13% this morning… I would think that mini drop in yield represents the Fed/ Cabal/ Cartel in shaving some of the yield off so that it doesn’t get too high… Think about that for a minute… Who or what entity has the wherewithal to manipulate bond yields in their favor? There’s only one… Sad to say, that it’s the Fed/ Cabal/ Cartel… They print; they buy… In the video I mention below, I made a BIG Point of saying that the Fed printed money to buy bonds back then… They’re still in the bond buying business even though they say they aren’t…
Well, I have something from the archives for you today… In 2012, I was in Vancouver to speak, and a friend of EverBank, Jeff Clark came to me and asked me to a quick interview on camera… Of course, I said yes… Now, please keep in mind that this was 13 years ago… I was HUGE at that time, I still had all my teeth, and my eye had just been taken out the previous year, so I was still working to get it to open right… But with no further ado… here’s the link: Chuck Butler – EverBank
I hope you get a kick out that…
Yesterday, I told you about the new Fed Head, Stephen Miran, who had voted for a 50 Basis Points rate cut, but was out voted for a 25 Basis Point rate cut… Well, Mr. Miran doubled down yesterday and called for his fellow Fed heads to cut rates 200 Basis Points! See? Didn’t I josh yesterday that he should just say “take rates to zero”! This guy is a “plant” by the POTUS to influence the other Fed Heads to go down his road of major rate cuts…
Hey! Maybe the economy could use a rate cut, but what the economy doesn’t need is inflation soaring again, and that’s exactly what this is all about, getting inflation soaring to help with the debt… Bill Bonner coined the term: Inflate or Die… And the Fed Heads have chosen their method of death by a thousand cuts and that is with inflation… Money supply is still strong, and that along with weaker rates will invite inflation into the economy without RSVPing…
Circling back to dollar, and the Fed/ Cabal/ Cartel for a minute… The credibility of the Fed Heads has gone to hell in a hand basket, and it’s their own fault, for they brought this scenario for them to everyone’s attention, with their meddling in the markets, their insistence that inflation was only temporary, and their manipulating bond yields, and their blatant disregard for the middle class’s struggles with inflation… The list is long here, and I won’t detail all of the items that the Fed Heads have taken on, but I did list the ones that I think are very important…
So, what we have here is a Central Bank that is rogue… And that’s not a good thing, folks… I recall a time when the Fed Heads were invisible to the public, and that they worked in the background, not ruffling feathers, not giving speeches to opine their opinions, not a major manipulator of markets… But that scenario was thrown by the waysides by Big Al Greenspan… And since Big Al, every Fed Chairman has been a mere shadow of the great Fed Chairmen of the past… I’m just saying
And this Central Bank will be a major part of the downfall of the dollar, along with the debt, the debt servicing, and Chaotic White House… C’mon give me a reason why the dollar isn’t going to fall to depths it hasn’t seen in a while…
The U.S. Data Cupboard didn’t have anything for us yesterday, just a bunch of Fed Heads spouting off about this, that and the other thing… Today, we’ll see the flash preliminary Trade Deficit for the first two weeks of September… it should be a doozy, and companies and businesses have been buying as much as they can ahead of tariffs…
To recap… The dollar drifted lower yesterday, after a brief rally during the morning session… Gold & Silver had banner days with Gold going over $3,700 and Silver going over $44 on the day… Miran double down on his call for bigger rate cuts… What? He’s trying to ingratiate himself to the Stock Jockeys… Anything wrong with that? YES!!!! Can you say, soaring inflation?
For What It’s Worth… I found this article on Bloomberg.com last night, because the football game on TV couldn’t hold my attention… And it’s about Gold & Silver and it can be found here: Gold (XAUUSD) Holds Just Below Record as Traders Wait for Rate-Path Clues – Bloomberg
Or, here’s your snippet; “Gold powered to a record in the week’s opening session after flows into exchange-traded funds hit a three-year high, with investors betting that the Federal Reserve’s rate-cutting cycle has further to run. Silver also rose, with year-to-date gains topping 50%.
The more expensive metal spiked to an all-time high above $3,700 an ounce, building on a run of five weekly gains, as the Fed cut rates and flagged further easing through to year-end. On Friday, bullion-backed ETFs surged 0.9%, the most in percentage terms since 2022, according to data compiled by Bloomberg.
Investors Buy Most Gold ETFs in More Than Three Years
Holdings grew nearly 27 tons on Friday, giving fresh legs to bullion’s rally.
Gold and silver have been among the year’s best performing major commodities on a broad confluence of supportive factors, as the Fed eases policy, central banks bolster their reserve holdings, and lingering geopolitical tensions sustain a bid for havens. Major banks including Goldman Sachs Group Inc. have flagged their expectations for further gains.
“Technical’s are looking pretty strong, and expectations are rising for deeper rate cuts,” said Soni Kumari, commodity strategist at ANZ Group Holdings Ltd. In silver, “resistance at $43 an ounce was broken, while gold powered through $3,708 an ounce — suggesting prices will continue to push higher.”
This week, traders will parse data including US personal consumption expenditures for August. The Fed’s preferred measure of underlying inflation likely grew at a slower pace, which may strengthen the case for more cuts. In addition, Fed Chair Jerome Powell is due to speak on the outlook on Tuesday.”
Chuck Again… It’s all good news on the wires about Gold & Silver’s move yesterday, but as the report says these two have been on a roll for some time now, not just yesterday.. Are Cab Drivers talking about owning/ buying Gold yet? I’m just wondering, for when they do begin talking about their Gold, it’ll be time to worry about pull back, but until then… Onward and Upward!
Market Prices 9/23/2025: American Style: A$ .6608, kiwi .5864, C$ .7231, euro 1.1792, sterling 1.3511, Swiss $1.2612, European Style: rand 17.3205, krone 9.8973, SEK 9.3285, forint 330.70, zloty 3.6087, koruna 20.5509, RUB 83.62, yen 1.4782, sing 1.2835, HKD 7.7756, INR 88.75, China 7.1117, peso 18.32, BRL 5.3438, BBDXY 1,196, Dollar Index 97.36, Oil $63.01, 10-year 4.13%, Silver $44.36, Platinum $1,468.00, Palladium $1,237.00, Copper $4.63, and Gold… $3,783
That’s it for today… My beloved Cardinals are in S. F. So the game last night came on later, and I couldn’t say awake to watch them… I did make it for 4 innings… My trip to the PCP yesterday was good… The Doc said I looked great, considering all that I’ve been through… And then I told him about the recent adverse reaction I had with the last infusion, and he said, “another notch in your belt”! I’m already getting antsy about this Thursday, when I see my oncologist, she’ll want me back on the infusions… If I have another adverse reaction to the drug, then I’m up a creek without a paddle… This is the last chance saloon for me with chemo… As I told you months ago, there is no new chemo for me to take… So, fingers crossed, eh? Steve Miller takes us to the finish line today with his song: Living In The USA… I hope you have a Tom Terrific Tuesday today, and Please Be Good To Yourself!
Chuck Butler