Phil Carr
The Gold & Silver Club
“Vaccine Mondays” as they are now known – has become a predictable trading opportunity that continues to present savvy traders with trading opportunities week-in-week-out.
Like clockwork – Gold and silver pulled back on positive coronavirus vaccine news. Gold and silver price action has continued to resemble the identical trend seen over the last three Mondays in a row now.
Meanwhile, the biggest beneficiaries of the vaccine news this month have been Platinum, Copper and Oil. These commodities have been on a tear in recent weeks – skyrocketing on every latest update surrounding the potential vaccine.
Nevertheless the vaccine might kill the virus, but not the vast mountains of debt and economic damage caused by the coronavirus pandemic. Central banks are expected to maintain ultra-loose monetary policies, which inadvertently will lead to higher inflation throughout 2021 and beyond.
Additionally, President-elect Joe Biden has nominated former Federal Reserve Chair Janet Yellen to serve as his Treasury secretary. Janet Yellen is right out of Ben Bernanke’s school of quantitative easing and money printing.
Biden’s selection of Yellen has sent a strong signal to the markets that he plans to GO BIG on fiscal and monetary stimulus in 2021 to revive the world’s biggest economy – which should continue to support the bull market.
Heading into December – the major market-moving themes that will continue to drive commodity prices between now and the Christmas holidays include; a return to pandemic-related lockdowns across the world, vaccine news and whether or not there will be a fresh round of economic stimulus before year-end.
In the next few weeks leading up to the Christmas holidays, the trader's attention will shift to how severe the COVID-19 restrictions will be and whether there will be any more stimulus this year.
Where are prices heading next? Watch The Commodity Report now, for my latest price forecasts and predictions:
Trading has large potential rewards, but also large potential risk and may not be suitable for all investors. The value of your investments and income may go down as well as up. You should not speculate with capital that you cannot afford to lose. Ensure you fully understand the risks and seek independent advice if necessary.
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