The Fed heads say the economy is 'solid'

Good Day... And a Tub Thumpin' Thursday to one and all! My beloved Cardinals took the rubber game last night to win the series with the O's 2 out of 3... When I watched the Cardinals in Spring Training, they sure didn't look like the team that's playing now... My lunch with my classmates was great, and I thank Cathy Reis for the ride! The Cure greets me this morning with their song: Pictures Of You.

Well, it's as if the selling of the dollar last week never happened, because the buying of the dollar this week has erased the losses the dollar garnered late last week... The BBDXY gained 9 index points yesterday... The currencies have all been sent back to their sick beds... Gold has been treated like its persona non gratis.

Gold lost $17 yesterday and closed at $3,284... Silver lost ground too by 29-cents and closed at $33.06... Don't look to the stocks for relief here, because they are wishy-washy these days.

The FOMC's Meeting Minutes revealed that the Fed Heads all think that the economy is doing well, in spite of the on/off tariffs hanging over the economy like the Sword of Damocles... (my words, not the Fed Heads, they probably don't even know the story of Damocles!). 

The price of Oil seems to be stuck in the mud, but then now that I've said that it'll move one-way or another... Oil is hanging out trading with a $61 handle... and the 190-year Treasury saw some more buying as its yield slipped to 4.44%.

In the overnight markets last night... The dollar buying stopped, but there was no dollar selling, the BBDXY is trading in the same clothes it wore at the U.S. close yesterday... 1,220... Maybe the intervention is over now, and we can come back out to play? I call it intervention because the dollar reacted to the Judge's ruling about tariff far too much, without some sort of intervention going on... I'll bet a shiny quarter that this is what took place yesterday.

Gold is up $19 in the early trading this morning, and Silver is up 49-cents to start our day today... And maybe the short paper traders are taking a pause for the cause this morning... I doubt it, but there's always the possibility that they need to fall back and reload... let's hope so, eh? The price of Oil bumped higher to a $62 handle this morning, so there's that... And the 10-year Treasury's yield saw a rise to 4.48% overnight... I guess the Fed Heads have to sleep sometime, eh?  Man, I'm very combative this morning, aren't I? That's how I live to be when I write, because someone has to ask the questions and look under the hood, because there are no investigative journalists any longer, or at least there doesn't seem to be any.

I'm no stock jockey, and I don't play one on TV, nor did I stay in a Holiday Inn Express last night, but to me, if the whole stock rally is waiting on the Fed Heads to cut rates, they may be waiting a long time... They also seem to be weighed down by the tariffs talk...  I saw a headline on MarketWatch yesterday that siad, "If stocks aren't going anywhere, here's where you need to hang out"...

Now, if I had said that I would be telling you to buy Gold, but then you knew that already, didn't ya? 

Fed Head Barkin was talking on Bloomberg radio yesterday, and said that the Fed Heads believe that "the economy is on the same trajectory as the last year or two"...  Which, when you break that down, you find out that the economy is going nowhere.. .Slow growth, sticky inflation and more unemployment...  I'm just saying.

Well, a Federal Judge ruled yesterday that the Trump's Tariffs are illegal... Wait, What? No wonder the dollar bulls were dancing in the street yesterday... But just like the delays in the tariffs, this ruling doesn't mean that the tariffs are dead in the water... We'll have to keep an eye on this because I doubt this ruling will stand as it is.

So, what did you think about the FWIW article yesterday? Were you Googling how to deposit Gold in Singapore? For those of you who missed class yesterday, or just didn't want to read the FWIW article, I'm talking about how the uber Rich are moving their Gold storage to Singapore, to escape all the chaos and turmoil going on in the U.S. especially after Moody's dropped the U.S.'s Credit rating from AAA.. S&P and Fitch had already dropped the U.S.'s AAA credit rating a few years ago... Moody's was just late to the party, and basically was telling us something we already knew, that the U.S. debt and future debt is out of control... And the threat to the economy is HUGE! But I've been through all of that and won't make you go through it again.

The U.S. Data Cupboard today, will have the first revision of 1^st QTR GDP, which printed the first time at negative -.3%... I think this will see a downward revision and should be enough to shut the rate cut folks up!  Do much for "solid growth" that the Fed Heads seem to think is right word for the U.S. economy...

We'll also see the usual Thursday print of Weekly Initial Jobless Claims, which have been very slowly moving higher...  Other than that, there will be 4 Fed/ Cabal/ Cartel heads out speaking today.

To recap... The dollar was on a rampage yesterday, as a Federal Trade judge ruled that Trump's tariffs are illegal... That set the dollar bugs to dancing in the street, and the currencies all being sent directly to their sick beds, with no passing GO, or collecting $200... Chuck thinks this reaction was similar to the announcement of a delay in the tariffs... Memo to the dollar bugs... This was a delay, not a deep sixing of the tariffs... I'm just saying.

Here's your snippet: "Federal Reserve officials at their meeting earlier this month worried that tariffs could aggravate inflation and create a difficult quandary with interest rate policy, minutes released Wednesday show.

The summary of the May 6-7 meeting of the Federal Open Market Committee reflected ongoing misgivings about the direction of fiscal and trade policy, with officials ultimately deciding the best course was to keep rates steady.

“Participants agreed that uncertainty about the economic outlook had increased further, making it appropriate to take a cautious approach until the net economic effects of the array of changes to government policies become clearer,” the minutes said. “Participants noted that the Committee might face difficult tradeoffs if inflation proves to be more persistent while the outlooks for growth and employment weaken.”

Though policymakers expressed concern about the direction of inflation and the vagaries of trade policy, they nevertheless said that economic growth was “solid,” the labor market is “broadly in balance” though risks were growing that it could weaken, and consumers were continuing to spend.

Chuck Again.... Ahem, Fed heads... I'd like to direct your attention to the 1^st Revision of GDP that will print today, and most certainly will be negative... Do, you really, seriously with a straight face think the economy is "Solid"? Do, you really think that we the people, believe your lies any longer?

Market Prices 5/28/2025: American Style: A$ .6409, kiwi .5864, C$ .7232, euro 1.1286, sterling 1.350479, Swiss $1.2089, European Style: rand 17.8420, krone 10.1796, SEK 9.6061, forint 358.23, zloty 3.5823, koruna 22.0865, RUB 78.50, yen 144.82, sing 1.2897, HKD 7.8396, INR 86.57, China 7.1886, peso 19.48, BRL 5.6899, BBDXY 1,220, Dollar Index 99.82, Oil $62.15, 10-year 4.48%, Silver $33.55, Platinum $1,091.00, Palladium $1,000.00, Copper $4.71, and Gold... $3,303.

That's it for today... And this week... I do believe I'm here all next week, so make sure you tip the waiters, and try the veal! HA! I treated myself to a double smash burger yesterday at lunch... That's the first one I've had in months!  And I devoured it quickly! Like I hadn't eaten in days! I told you yesterday morning that my stomach was saying: "feed me"... And I waited until lunch to eat! My beloved Cardinals travel now to Arlington Texas, to play the Rangers... I know what I'll be doing this weekend! So far this year, I'm enjoying watching the Cardinals play... I hope that excitement lasts all summer! I don't have anything else to say so... The Guess Who takes us to the finish line today with their song: Share The Land...  I hope you have a Tub Thumpin' Thursday today, and please or please with sugar on top, remember to Be Good To Yourself!