2/25/20 Market Update – The latest weakness in gold and bitcoin may be a concern here

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-Gold and silver sell off into the afternoon. The gold COT is the most overbought in history and may be ready to unravel if margin calls increase.  The commercials are heavily underwater and may just wait for the weak hands to dump here. If the asset selling pressures grow, we could see a redux of 2008 in the gold and silver futures markets if more institutions need to meet margin calls.
-Bonds held up very well and yields on the long-end continue to move in the favor of the nation-states and their financiers. The yields on the 10′-30’s keep putting in new ATLs. This tells us that the system is running as designed.
-If yields rose here, I would be very concerned, as that would indicate cracks in the system.
-Bitcoin is having problems, and the chart and market action is dicey. I would have hoped to have seen btc perform better. This would help to cement its position as a haven asset.
-Nothing like a good old pandemic to help TPTB with financing and overbought COTs.

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