Silver Soars To Best Month Since ’79 As Dollar Dumps Most In A Decade

Silver Soars To Best Month Since '79 As Dollar Dumps Most In A Decade

Silver Soars To Best Month Since ’79 As Dollar Dumps Most In A Decade

Tyler Durden

Fri, 07/31/2020 – 16:00

Stocks managed gains on the month (4th month in a row) – Nasdaq best, Dow worst…

Silver Soars To Best Month Since '79 As Dollar Dumps Most In A Decade

Source: Bloomberg

And note that despite the epic surge in the mega tech stocks overnight… Yes, that is AAPL up 10%!! (GOOGL -4%)…MSFT  managed to rally back to unch after rumors of it buying TikTok…

Silver Soars To Best Month Since '79 As Dollar Dumps Most In A Decade

Nasdaq was not a one-way street today as CNBC stunningly remarked “nasdaq has now gone negative which is quite interesting…”

Silver Soars To Best Month Since '79 As Dollar Dumps Most In A Decade

And you have to laugh at this – The Dow scraped by today… as AAPL’s insane squeeze higher dominated the rest of the entire index…

Silver Soars To Best Month Since '79 As Dollar Dumps Most In A Decade

Source: Bloomberg

but that will change when AAPL splits.

BUT, it was in currency, commodity, credit, and crypto land that the real fun and games took place.

Bonds were bid pretty much all month with the long-end notably outperforming…

Silver Soars To Best Month Since '79 As Dollar Dumps Most In A Decade

Source: Bloomberg

… and pushing to new record low yields…

Silver Soars To Best Month Since '79 As Dollar Dumps Most In A Decade

Source: Bloomberg

Some highlights:

  • 2Y Treasury yields fell for the 8th month in a row

  • 30Y Treasury yields fell for the 5th month this year

  • 2s30s Curve flattened by the most since August 2019

Silver Soars To Best Month Since '79 As Dollar Dumps Most In A Decade

Source: Bloomberg

Still a long way down for stocks if bonds are right…

Silver Soars To Best Month Since '79 As Dollar Dumps Most In A Decade

Source: Bloomberg

Gold and silver screamed higher on the month.

  • Silver’s best month since 1979 (when the Hunt Brothers tried to corner the market)

  • Gold’s best month since 2011

Spot Gold reached a new record above Sept 2011 and Futures topped $2000…

Silver Soars To Best Month Since '79 As Dollar Dumps Most In A Decade

Source: Bloomberg

Silver’s at its highest since June 2013…

Silver Soars To Best Month Since '79 As Dollar Dumps Most In A Decade

Source: Bloomberg

Oil’s up for the 3rd month in a row, but has largely trod water all month…

Silver Soars To Best Month Since '79 As Dollar Dumps Most In A Decade

Source: Bloomberg

Cryptos soared in July with Ethereum best (up over 50%, its 4th monthly rise in a row) and Bitcoin up 22%…

Silver Soars To Best Month Since '79 As Dollar Dumps Most In A Decade

Source: Bloomberg

Ethereum closed at its highest since August 2018…

Silver Soars To Best Month Since '79 As Dollar Dumps Most In A Decade

Source: Bloomberg

And helping all these assets rise in value, DXY Dollar Index suffered its biggest monthly drop since 2010…

Silver Soars To Best Month Since '79 As Dollar Dumps Most In A Decade

Source: Bloomberg

Breaking a key up-trend line…

Silver Soars To Best Month Since '79 As Dollar Dumps Most In A Decade

Source: Bloomberg

Did Washington mess with the ‘money’ one too many times?

Gold seems to think so…

Silver Soars To Best Month Since '79 As Dollar Dumps Most In A Decade

Source: Bloomberg

Finally, we note that ‘soft’ survey macro data has surged full of hope to a region that has not ended well in the recent past

Silver Soars To Best Month Since '79 As Dollar Dumps Most In A Decade

Source: Bloomberg

Better keep pumping…

Silver Soars To Best Month Since '79 As Dollar Dumps Most In A Decade

Source: Bloomberg

Remember, Diversify, Diversify, Diversify… oh wait!

Silver Soars To Best Month Since '79 As Dollar Dumps Most In A Decade

h/t @Not_Jim_Cramer

Trade accordingly.

So – summing up July – Stocks up, Bonds up, Gold up, Silver up, Oil up, Crypto up, Dollar Down (along with Fed credibility.)


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