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Message: Markets

Yes, whiplash, and caused by two significant events.

1.  China agrees to resume trade talks at nearly the same time as the potential calamity in Hong Kong is averted. 

2.  Early this morning news came that US employment figures as shown by ADP (employment services) surprised to the upside, and very strongly so.

In the first case, this took from the broader markets some level of uncertainty regarding a continuation of the trade war with China. Then this other bit of news lent support to the US economy, forstalling fears of a near-term recession.  Both worked against gold and silver prices for the moment.

However, I believe that a deflationary boom remains intact.  If so, prices for gold and silver will resume their upward trajectory, along with the related mining stocks.          

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