JOBS DATA SHOWS MOMO CROWD RUNS GOLD
The U.S. Department of Labor just reported employment numbers for January. This number is known as ‘œmother of all numbers.’ January nonfarm private payrolls increased by 257,000 vs. 168,000 consensus. There are several components to this number, but our models focus on nonfarm private payrolls. The number was a blowout on the positive side. This means the U.S. economy is improving strongly, and makes it highly unlikely for QE3 to occur this quarter.
By any rational school of thought and analysis, this is a negative development for gold and silver.
So what do gold and silver do? They immediately jump up on the release of the employment number, including the SPDR Gold Trust ETF /quotes/zigman/41663/quotes/nls/gld GLD -0.64% and the iShares Silver Trust ETF /quotes/zigman/417006/quotes/nls/slv SLV -1.68% .… Please click here or the title below to read more.