What were They Thinking ?
Since the first of the year investors have acted like the sequester and European problems don’t matter. It has been surprising how much they have kept their head in the sand. Now today with this employment number we see the first indication of fundamental effects.
This could be the very beginning of a new Bernanke initiative, one that will be crazy enough that the GOLD BUGS will jump back in while everything else goes down, stocks, commodities, dollar, etc. So watch gold versus everything else in the coming days and weeks. We are watching the $ 1600 level where we got out of half of our short gold a few weeks ago and we will probably be covering the other half soon if any confirmation is indicated. It will be Japan and the FED in a race to the bottom. The dollar could suffer also.