With another record high today in gold, the ytd gain is now almost 30%. Pricing the ytd move in the S&P 500 in gold terms has it down 16% for 2010 and since the March 2000 high in the S&P 500, it has fallen 84% in gold terms. Oh the illusion of currency debasement. Greece sold 6 month bills at a yield of almost 30 bps above the one sold in Oct but the bid to cover was solid at 5.15. Irish, Spanish and Portuguese CDS are pushing record highs but their bonds are trading flattish. Ahead of the G20 meeting later this week, the Chinese Yuan rallied to just shy of a record high vs the US$. Following the Fed’s action last week, its getting really hard for Geithner to continue to accuse the Chinese of artificially suppressing their currency when we seem to be so good at it. The NFIB Oct small biz optimism index rose almost 3 pts to the best since May and most components improved.
Read this next.
Previous PostWill the “Thundering Herd” Thunder Out the Door?