Obama Aide, Boehner Say No Debt-Limit Deal

Coins101

So, if this is true, wouldn't you think PM's would go up, not down? The stock market seems to like it.

Overdate

<< <i>So, if this is true, wouldn't you think PM's would go up, not down? The stock market seems to like it. >>


In the short term, a default could lead to a credit freeze-up, a flight to cash, and a temporary drop in the price of commodities, similar to 2008.

derryb

there will be a deal before it's over and that is already priced into PMs. Dollar, oil and euro are the big ticket items. Negative news for any of them is positive news for PMs. Negative news will drive oil up while it drives the euro and the dollar down.

A default is not the end of the world. It only means that the US has to prioritize who gets paid first until it learns to live within its means. They will have to choose which particular debt gets defaulted on and it won't be much. They will not let a default occur because they have puprosely made it sound like the end of the world in hopes the public puts pressure on politicians.

roadrunner

Gold and silver are now under pressure from options expiration which is Tuesday. From a seasonal standpoint, one or both of the last 2 weeks in July tend to be weak.
On top of that gold and silver just had a great 3 week run to key numbers of $1600 and $40. They are consolidating and would need some fresh input to reignite them. More than likely they will consolidate into next week, regardless of what the dollar, oil or stock market does. Gold outdid them all for several weeks so it's time to shift roles.

roadrunner

Coins101

New headline:

"Boehner: House will compromise on debt limit"

Looks like they are in the MayTag Mode - wishy-washy