February 21, 2013

THE FED SPOOKS GOLD, STOCK AND BOND BULLS $GLD $SLV $GDX $SPY $SLW

English: A picture from the gold vault of the ...

The Federal Open Market Committee (FOMC) meeting minutes from January 29 -30 were released yesterday afternoon. Within the Federal Reserve System, the FOMC is responsible for making key decisions about money supply and interest rates.

One paragraph in the minutes spooked gold and silver bulls, as well as stock and bond bulls. Here is the paragraph that caused concern:

“However, many participants also expressed some concerns about potential costs and risks arising from further asset purchases. Several participants discussed the possible complications that additional purchases could cause for the eventual withdrawal of policy accommodation, a few mentioned the prospect of inflationary risks, and some noted that further asset purchases could foster market behavior that could undermine financial stability.… Please click here or the title below to read more.

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