Tuesday, April 28, 2015

Why Gold and Stock market went up

Dennis Gartman cites reasons for the recent Gold rally and the Stock market rally. 

-A deal between Venezuela and Citigroup to swap $1 billion in cash for part of the country's gold reserves and 

"He [Venezuela President Nicolas Madurohad] had to pawn their gold. That's what they've done. They can buy it back. They have rights of first refusal. They went to the biggest pawnbroker of gold —Citibank. That was a huge potential seller taken out of the market. It's not an overhang anymore."

-China Quantitative Easing

"The Peoples Bank of China has gone full in for QE, Finally, you've got the PBOC, which is a monstrous bank making an implied bet on inflation."