Reminiscent of that classic 1970 LP
“Déjà Vu”
–(CSN&Y), Gold these days is quietly crooning the spacey tune
“… and I feeeeel like I’ve been … here before…”
For as the above panel shows, in closing out the week yesterday (Friday) at 1270, Gold is just about where ’twas relative to this point a year ago (1295). And yet, how ornery indeed it “feeeeels”, dare we say practically “responsiveless”, given fundamental surroundings ranging from a lackluster Dollar, to an erosion in gross domestic product growth, to France’s Macron being odds-on, and further still to what some may consider to be Gold’s ultimately booster: that of NorK nukes puttin’ up their dukes. But then again, maybe all that logical rationale for higher Gold is too abstract to quantify into the trading algorithms.
Yet simple to quantify amongst the BEGOS Markets is where Gold stands with the first trimester of 2017 now complete: in first place (+10.2%), shadowed in second by a somewhat slippery Silver (+7.9%). Here’s the entire bunch year-to-date:
Whilst one can’t really quibble with a trimester’s gain of 10%, again in consideration of it all, it “feeeeels” unduly small. Small, too, are the moves of the miners: ’tis as if their aspect of leverage has been leveled. As a valued friend of The Gold Update just wrote in, “…This year so far GLD [or Gold itself] is ahead of the big miners…”
That we can strikingly see, for it being month’s end, ’tis time to bring up our year-over-year percentage tracks graphic, whereon we’ve drawn a red vertical line from which we can assess this year’s progress-to-date: and specific to the bright blue line of the large miners exchange-traded fund GDX, ’tis in 2017 but +6.3% versus Gold’s +10.2%. And if you’re looking ahead, whilst “traditionally” the month of May is considered one of strength for Gold, ’tis been a downer in four of the past five years. Of further note, Gold has just completed its fourth consecutive up month: on a mutually-exclusive basis, a fifth straight up month has only happened twice in the last 25 years.
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