Markets were mixed this week, with currencies mostly stronger and stocks and commodities mostly lower. Cotton continued to lead the way higher, while the biggest decliner was once again Bitcoin.
Bitcoin dropped a further 10.5% to close at 2.25 g. Trading volume continues to grow, now averaging 108 kg per day. Expect more volatility – up and down – as volume increases.
The Japanese Yen once again led the currencies higher, rising 3.8%. The Euro was again in second place, gaining 1.1% to close at 29.8 mg. The USD was the only government issued currency to lose value, dropping 0.4% and ending the week 40.1% above it's half-life curve.
Bonds were mixed again, but this week the short term SHY fell 0.3% along with the dollar, while the long term TLT gained 0.2% to close at 2.54 g. TLT continues to straddle support/resistance at 2.55 g, and could break either way.
Stocks were mainly lower, led by the HUI Gold Bugs Index, which dropped 3.4% to 5.84 g, well below the critical 6 g level. US stocks also declined 1.5%, giving up their gains from last week. The Nikkei was the only rising index this week, breaking its losing streak, and gaining 2.2% to close at 2.99 g.
Commodities were mostly down this week. The exceptions were Cotton, up 7.2%, and Crude Oil, up 1.5%. Silver and Platinum were the biggest losers, down 4.4% and 4.2% respectively. This puts silver at 0.485 g/oz, a new low for this move down.