Another dictum which is doing the rounds is ~ FED rate cut will lead to metals doing well.
As per my understanding, US accounts for less than 10% steel usage worldwide with China accounting for about 50%. There is no way US can compensate for China depression in Steel usage.
And FED is cutting rate to avoid recession and not to come out of recession.
Western countries are more consumption oriented rather than infrastructure oriented.
Hence, FED rate cut may not translate into industrial metals gain.
Fed cut, Democratic party’s profligacy and geopolitics can have lollapalooza for precious metals.
My two cents.
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