Gold Says QE Won’t Happen Right Now

The Ben Bernanke comments were just released before he testifies in front of Joint Economic Committee. It should be noted that gold, silver, and gold mining stocks are declining lower. This tells us all that the Federal Reserve is not looking to implement another quantitative easing program at this time. The U.S. Dollar Index has also strengthened. This can be seen by viewing the PowerShares DB US Dollar Index Bullish (NYSEARCA:UUP). The UUP immediately spiked higher on the intra-day charts after the comments were released. The SPDR Gold Shares (NYSEARCA:GLD) are trading lower $1.00 to $156.21 a share. The GLD should have some intra-day support around the $153.65 area.

Most of the leading gold mining stocks are coming under selling pressure today. Leading gold miners such as Newmont Mining Corp (NYSE:NEM), Goldcorp Inc (NYSE:GG), and Yamana Gold Inc (NYSE:GDX) are all trading lower. Please remember, gold and gold mining stocks will likely be very volatile while Ben Bernanke speaks.

About Nicholas Santiago 575 Articles

Affiliation: InTheMoneyStocks.com

Nicholas Santiago started trading in 1991. In 1997, he became a licensed Series 7 and 63 registered representative. He managed money for a large, affluent private client group. After applying his knowledge to his client base, he decided it was time to begin teaching those interested in learning his methods. He is an expert in Technical Analysis. He has become an accomplished technician in the studies of Elliot Wave, Gann Theory, Dow Theory and Cycle Theory. In 2007, he partnered with Gareth Soloway to form InTheMoneyStocks.Com and realize his dream of educating others about the truth of the markets.

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