“In that direction,’ the Cat said, waving its right paw round, `lives a Hatter: and in that direction,’ waving the other paw, `lives a March Hare. Visit either you like: they’re both mad”.

Lewis Carroll, Alice’s Adventures in Wonderland

Fed Chair Jay Powell made dovish sounds in his talk at Jackson Hole today. And the PBOC made some noises about the weakness of the yuan overnight.

No big surprise there since it is clear to informed observers that the Fed is raising rates, not to dampen incipient inflation, but rather to get off their protracted stay near the zero boundary, so they will have the room to make policy decision, eg. interest rate cuts, when their latest financial asset bubble implodes.

And so the dollar slumped, gold and silver took off like scalded cats, and stocks were able to go out near the highs.

We will be closing out the month of August next week, with Friday being the 31^st. So alas, we will have to wait until the following week for the next Non-Farm Payrolls Report.

We will be having a Comex precious metals option expiration on the 28^th. However, this contract month is much more significant to silver rather than gold. 

It is hard not to conclude that we are caught in a system of unfettered capitalism gone mad.

When you have nothing else that is nice to say, perhaps it is better to say nothing at all.