Decoding the Current Market Paradox and What This Means for Gold
Clearly, the current situation is rare in every regard, and we need to examine it more closely in order to figure out the true macro conditions in the market today.
Last week, the equity markets continued their torrid rally. The S&Ps rallied for the sixteenth out of the last eighteen weeks. I have been reviewing data for many, many years, and it has been quite challenging to find a period that matches this one for consistency. There have certainly been larger rallies than the recent 24.4% rally, but very few periods match this astonishing level of consistency.
After the Great Recession, when the Fed was pumping enormous quantities of funds into the system, there were two particularly strong periods with very steady performance, but the consistency of the recent rally beats those periods hands down.