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Over at Intraday Chart Central, the ES 24 hour S&P futures are trying to form a 5 day cycle low. If they get to 4400 by this afternoon, that would tend to confirm.
Otherwise, we’re still looking at a 5 day cycle projection of 4445 or fight.
Meanwhile, the 10 year Treasury yield remains within an uptrend, within an uptrend, within an uptrend.
Meanwhile, Bloomberg is floating a trial balloon about the Fed ending QT because the T-bill issuance is “draining reserves.” That’s just total bullshit. The bill issuance pulls cash out of the banking system for a week, and then the Treasury spends the money, paying beneficiaries, employees, and contractors. The money gets deposited right back in bank accounts and instantly shows up on the Fed’s balance sheet in the banks’ accounts at the Fed.
Which bank deposits at the Fed the econocognoscenti all erroneously refer to as reserves. The reserve requirement is zero. Therefore, these accounts are not “reserves.” They’re just money, just the same as when they are in the Treasury’s account at the Fed, or overnight RRPs RRPs at the Fed, in money market funds or in bank accounts.
It’s all money. It only differs as to the line item at the Fed. It’s like spaghetti on a plate. Only difference is that some of it gets pushed around on the plate, some goes in your mouth, and some comes out in the end.
The mainstream media is ignorant on purpose. It gets paid to be ignorant. Same for econ academia. The word academia sounds like a disease. Appropriately. They are all handmaidens to the Wall Street Mob. Pimps.
But they’re useful pimps. Once the trial balloons are floated, you know that it’s coming. Usually the lead time is about 6 months from the first balloon. The end of QT is coming.
Short term cycles have bottomed and there are hints of a bottom in the xxxx month cycle. A daily close above xxxx would tend to confirm that. The 13-week cycle would resync with the bigger cycle if that happens. But it’s too early to tell if that would lead to the 6-month cycle getting in gear also. A xxxxxxxxx xxxxxxx xxxxxxxxxx 2020 would give xxxxxxxxx xxxxxx xxxxx on that. Non-subscribers click here for access.
I have added two buys to the miners’ swing picks. Non-subscribers click here for access.
For moron the markets, see:
- Here’s Why Gold Needs 2020 Vision August 25, 2023
- Here’s Why This Is a No Clickbait Market for Primary Dealers August 24, 2023
- Weak Week but List Stays Net Positive August 22, 2023
- Weaker Than It Should Be Means Worse To Come August 20, 2023
- Gold and Miners Set Up Ugly August 17, 2023
- One Banking Indicator Is Flashing Bright Red for Stocks August 16, 2023
- I Liked the Buys Better Than the Sells August 14, 2023
- More Supply is Just a Lie But Withholding Weakens August 4, 2023
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