The "change in season" described as the theme of yesterday's post continued Wednesday at a more modest pace. Even Bucky is rallying some as better economic data (ADP Employment Data) make it more attractive than even gold and other alternatives. Is this a temporary phenomenon? Perhaps since hopes for a cure to U.S. deficit issues remain a pipedream. But, clearly better economic data is taking hold which could lead to better tax receipts but also quickly raise interest rates--a killer for some commodity prices, particularly precious metals. If there is better growth, industry will need materials and commodities.

The "bear raid" on precious metals continued today but gold held at support levels and recovered.

Stock bulls have the future baked-in to prices and we're much overbought now from a variety of perspectives. A little slowdown would help along with some serious volume. If the latter doesn't materialize there's a lot of air under current prices which could lead to a smackdown.

Volume remains light and breadth positive per the WSJ.

Continue to U.S. Sectors, Stocks & Bonds

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