This week, I wrote concerning the significance of Retail and Semiconductors.
These month-to-month charts will information you on equities, particularly after trump’s bulletins yesterday.
Now, I wish to cowl my trifecta of inflation, starting with the to ratio.
The ratio chart favors gold. 92.28 instances larger value than silver exhibits no inflation.
What it does present is that gold continues to be a flight-to-safety funding.
It’s traditionally excessive which implies silver has room to catch up. And it should if we’re to suppose extra inflation is on the best way, or stagflation. And never recession.
Ought to the ratio break down beneath 87, that could possibly be an indication for extra inflation ache and an amazing commerce for silver.
Subsequent is the . A precipitous decline can be noteworthy and more than likely spur silver.
So far, the is weak, however not vital.
Below 103, that could possibly be the beginning of an even bigger transfer down.
And whereas we nonetheless think about oil an X issue, it’s best to watch that too. Over $80 that might even be disruptive and inflationary.
Nevertheless, the threerd in my trifecta is .
Sugar is our 3rd inflation indicator as it’s a world meals staple.
It’s tied to grease as properly. However its true nature comes out when sugar is in scarcity throughout nerve-racking financial instances.
It measures each social and political misery. People will struggle during the last pound of sugar in a grocery store. They don’t try this with eggs.
It additionally measures the steadiness between provide and demand.
Trying on the chart, sugar by way of 20 cents a pound is notable.
After Covid sugar peaked at 28 cents a pound. That’s the quantity to observe.
Trying on the trifecta, we now have potential to see a lot greater inflation, however proper now, it’s combined with no main considerations at the moment.
ETF Abstract
(Pivotal means short-term bullish above that stage and bearish beneath)
S&P 500 (SPY) Made a brand new yearly low and bounced-real? 575 nonetheless sits overhead
Russell 2000 (IWM) 200 pivotal
Dow (DIA) 417 assist
Nasdaq (QQQ) 480 subsequent to clear
Regional banks (KRE) 55-60 the buying and selling vary to observe
Semiconductors (SMH) 205 month-to-month assist held
Transportation (IYT) 63 assist 67 resistance
Biotechnology (IBB) 130 has to clear
Retail (XRT) 70 pivotal 72 resistance
