Wednesday, September 7, 2011

Where's the money going?

Where's the money going.

As you can see S&P, ES futures and Oil Price, CL futures are basically the same.  Which makes perfect sense because it's not like oil is an input cost to make and move things, and it's not like we import that much oil from other counties.  This is where the smiley face goes.

S&P with the 10 Year Bond, ZN futures contract.  Bonds prices are staying high even as the market moves up.
  
Gold price still also staying high.

So basically nothings changed bonds and gold are still being bought even when the S&P temporarily moves up based on whatever Europe said today.  Right or wrong Oil's the new S&P and Gold's the new dollar.

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