Dr. Kudlow's Prescription: Gold Diagnosis Unclear

Source:

The gold market has sold off $20 Monday, and my hunch is it has something to do with the Federal Reserve policy meeting that begins tomorrow and will conclude with a public announcement at 2:15pm ET Wednesday. A big gold drop strongly hints at market expectations for a tough-minded Fed that will defend the dollar and move to contain rising inflation...

...Kitco’s Senior Metals Market Analyst Jon Nadler, who wrote in his daily column entitled “Dr. Kudlow’s Prescription”:

….gold prices stumbled and fell sharply on Monday as long liquidation dominated the session. After failing to take out overhead resistance at $910 the metal turned south as last week's advance failed to attract follow-through buyers…

Today's tumble in gold has undone a week of carefully constructed advances (aiming the metal back towards the $850 support zone) and has, of course, already elicited cries of foul play and howls about suppression among gold and silver conspiracy-based apologists...

The gold market has sold off $20 Monday, and my hunch is it has something to do with the Federal Reserve policy meeting that begins tomorrow and will conclude with a public announcement at 2:15pm ET Wednesday. A big gold drop strongly hints at market expectations for a tough-minded Fed that will defend the dollar and move to contain rising inflation...

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