The dollar index imploded to 74.62 overnight but the futures are only up +5.50. Gold hit 1,180 overnight.

I am not adding positions tonight after the lackluster day we had on Tuesday. For a typically bullish week Tuesday was a disappointment although we did finish well off the lows of the day.

Crude prices have not rallied despite the imploding dollar. This is due to Saudi and possibly Kuwait moving to the Argus Sour Crude contract to value oil sales to the USA. We are also expecting a build in inventories in the weekly oil report today.

India said they might be interested in buying more gold from the IMF and that sent gold prices rocketing higher and of course the cheaper dollar helped.

There are a lot of economic reports on Wednesday and volume should be horrible. Anything is possible in a thin market so be careful.

Jim Brown

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