Courtesy of Mish.
Bad economic analysis abounds. Some of it is so bad you wonder if the authors understand how any markets work, not just the topic of discussion.
For example, please consider Gold Euphoria Won’t Last With Yellen’s Rally Fading, a truly remarkable exercise because it took three Bloomberg writers to produce.
Here are some snips, followed by my comments.
After the biggest gold slump in three decades left investors heartbroken, they’re following Taylor Swift’s advice and never, ever getting back together.
Janet Yellen, the one person able to make the lovers reconcile, did her best. Prices surged the most since September the day after the Fed chair signaled last week that low interest rates are here to stay. Traders and analysts surveyed by Bloomberg News aren’t expecting the euphoria to last.
For starters, there is no euphoria in gold. Arguably, one of the best measures of sentiment on gold is articles like the one above.
Here is a look at Yellen’s “Fading Rally”.
Yellen’s Rally Fading
Supposedly it makes sense to discuss “gold’s fading rally” but not countless other “fading rallies” some of which are actually fading.
Apple’s Fading Rally
Let’s march on. …
