Fascinating trade last night Even with markets down in USA a...

Fascinating trade last night

Even with markets down in USA a couple
Of hours before fed announcement and gold rising up at bull/ bear line of 1511 - both major etfs gdx and gdxj were down and falling over one %

Was very unusual trade

Huge rates move at end of session , back to 1.8 on the 10 year- another monster move despite fed cutting again - and admission / pivot that shrinking the balance sheet is not only
Over but may likely resume -

Clearly Market cannot handle the rolling reduction as rate moved up despite the cut and the emergency repo action - and cut interest in excess reserves by 30 bps

Even more bizarre was the amount of money borrowed last week and sold to the market ( treasuries) was effectively bought back by fed in repo operation the following week

That said- trimester is spewing even though market rebounded on the most telegraphed rate cut for years

Persoaanlly im amazed they keep going on about no inflation when core deflator the feds preferred indicator was way above 2 percent last week and that governments continue with persistent low inflation mantra which imo doesn’t reconcile to any price I can see—

Anyhoooooooo- all things commodities smashed - rate cut- it dollar up- and rates up- and despite that - suprisingly markets back up

All
I can say is an unusual
Night of trade imo