- Gold: Something Is Melting Down In The Global Financial System
by Dave Kranzler, http://investmentresearchdynamics.com/
Deutsche Bank is the financial system’s “Hurt Locker” – Investment Research Dynamics/Kranzler Research
It’s been well documented that the $/yen has been the “lever” by which the Federal Reserve and the U.S. Treasury ( via its Working Group on Financial Markets) has been manipulating the stock market higher and keeping a cap on the price of gold. Craig Hemke of TFMetalsReport.com has done a brilliant job documenting and commenting on this dynamic: It’s All About The Yen. I would recommend looking at his archives to see the historical context of his work.
The yen has been depreciating vs the dollar at a rapid rate since October 2012. Not coincidentally the SPX embarked on a nearly uninterrupted upward move that took it from 1099 in early October to its all time high of 2130 in May 2015. The directional correlation between the USD/YEN and the SPX was highly conspicuous, if not an outright signal of official market market intervention.
Starting in early August, however, the $/yen began to break down technically, as the yen began to appreciate vs. the dollar – primarily in big “waterfall” chunks. Not coincidentally, the SPX began to “tip over” at about the same time. Yesterday the $/yen plunged briefly below the key 110 level, closing at 109.78.