That measure has been rallying for sometime, a given under the supply chain issue.
What is still open for debate is whether the quicker taper and size is detrimental to the equity market not factoring an even quicker IR rise.
Double top on DXY as risk ccys rallied, is this the typical 'buy rumor sell news'? Ditto gold.
10Y yield isn't exactly shooting the lights out on the obvious inflation genie. Have a look at 5Y TIIPS, not falling even more negative and reversing to Zero in time! Half full kinda view.
The most sensitive equity index NDX, rallied hard off the FOMC.
So far, there isn't any signs of the market crash theory that tightening of monetary policy will trigger, in fact the opposite.
As an indirect gold bar investor, I prefer the current scenario as oppose to the market crash safety hedging mindset. Anyone who still thinks of this type of thinking should study Japan who invented QE and their economy, equity markets & JPY is still plodding along albeit they as a nation have lost the edge it once command in the hey days.
Gold last night price action was nothing more than technical stop raid off the $1760 circa double bottom by the close but at the time would have generated some stress for the bulls. Technically this was just a relief because price is still trapped in that congestion ever since it fell hard mid-Nov. This churning isn't exactly inspirational to keep accumulating gold or producers.
If one goes back to the explosive 2011 rally and see the range action for then next 2 years, it is eerily similar to the current situation except back then the range top and bottom were pronounced while this time around, it is all lower peaks on the weekly. If $1676 do not hold and breaks then I am not going to find out and hold in drawdown hoping for a miracle.
