Limit Up!

Limit Up! 12 February 2025

Written by Ian Reynolds | Feb 12, 2025 2:15:36 AM

Overnight

Dollar lower and Gold smashed with other markets quiet. No economic data worth mentioning. US CPI today will be the driver this week after Friday's Average Hourly Earnings and Michigan survey.

Testifying in the Senate, Powell read out the usual speech in front of a very hostile audience. 

  • Solid growth
  • Housing stabilised
  • Stable jobs market
  • Jobs not a source of inflation
  • Inflation somewhat elevated,  core PCE ex volatiles +2.8% YoY
  • Roll off of balance sheet has been ongoing
  • No need to adjust policy stance
  • Review of policy won't change 2% inflation target

Skip Warren ranting as usual. Powell gave her swift short shrift.

 

Breaking

Donald Trump warns ‘all’ Israeli hostages must be released by Saturday [FT]

London's Gold Shortage: A Symptom Of Global Economic Anxiety [Zerohedge]

Rupee rallies most in nearly 2 years on heavy central bank intervention [Reuters]

Trump Directs Federal Job Cuts as Musk Defends Downsizing [Bloomberg]

Precious Metals

Gold price was relentlessly increasing yesterday, looking like going parabolic until as big seller stepped in, and the buyers backed off.
Bullion banks? Bank of England? Who knows but it certainly stopped the market in it's tracks. 

 Gold / USD 15 mins

Foreign Exchange

For all the USD bears including Scott Bessent, here is the DXY since 1986.

DXY Monthly 

Equities

Amongst stable indexes, Tesla looks really weak. Lots of chatter that Elon's focus is elsewhere.

Tesla Daily 

Bitcoin

More consolidation. Still waiting for the the good news!

 Bitcoin / USD

Economic Indicators Today