Member-only story
Silver and Metals Week in Review — February 28th —March, 5th, 2021
Well, this was quite the week. Just as we thought we recovered from the Fed Chairman’s remarks up on Capitol Hill, new challenges popped up.
Let’s dig in…
Setup
The big drivers over the past few days have been the raising rates for 10-Year Treasury Bonds. With rising rates, the markets got the jitters that the smell of inflation is in the air. Unfortunately, Mr. Powell’s comments yesterday did nothing to calm fears.
We saw most of the major indices and huge swaths of the equities markets take a dive at the end of the week. The commodities markets were a blood red in sympathy — with the notable exception of the energy sector, which saw gains.
By late this afternoon (Friday, 3/5) the bleeding has mostly stopped. Unfortunately, the equities in the tech sector have some serious bruises. However, companies with profits, solid fundamentals, and sane valuations tended to escape huge losses. Sorry Mr. Musk, we’re not looking at you.
